NRS 539.783 Liability
of water user negligently or wrongfully impairing system of works; notice to
repair.

_________

GENERAL PROVISIONS

NRS 539.010Short title.This
chapter may be referred to in any action, proceeding or legislative enactment
as the Nevada Irrigation District Act.

[Part 70:64:1919; 1919 RL p. 3294; NCL § 8088]

NRS 539.013Definitions.As
used in this chapter:

1. “County treasurer” or “treasurer of the
county” shall be held to mean “ex officio tax receiver” or “tax receiver” of
the county.

2. “Irrigation district” or “district”
shall be held to mean any irrigation district organized under the laws of this
state prior to July 1, 1919, as well as under this chapter, to the full extent
required to accomplish the purposes of this chapter. Whenever the words
“irrigation district” are or have been used in any action or proceeding or in
any act or resolution of the Legislature, such words shall be construed to mean
an irrigation district organized under the provisions of chapter 134, Statutes
of Nevada 1911, or acts supplementary thereto or amendatory thereof, or an
irrigation district organized or existing under this chapter.

3. “Works of an irrigation district” shall
be held to include any drain or watercourse, any side, lateral, spur or branch
ditch or drain, whether opened, covered or tiled, or any natural watercourse
into which drains or ditches of the district may enter for the purpose of
outlet, whether such watercourse is situated in or outside of the district.

NRS 539.015Publication of notice.Whenever
in this chapter any notice is required to be given by publication, such
provision shall be satisfied by publishing the same in a weekly newspaper the
same number of times consecutively as the number of weeks mentioned in the
requirement.

[66:64:1919; 1919 RL p. 3293; NCL § 8084]

NRS 539.017Construction.

1. Nothing in this chapter shall be
construed as repealing or in any wise modifying the provisions of any other law
relating to the subject of irrigation or drainage except such as may be
contained in chapter 134, Statutes of Nevada 1911, and subsequent acts
supplementary thereto or amendatory thereof, all of which acts, so far as they
may be inconsistent with this chapter, are repealed.

2. Nothing in this chapter shall be so
construed as to:

(a) Affect the validity of any district organized
under the laws of this state prior to July 1, 1919, or its right in or to
property, or any of its rights or privileges of whatsoever kind or nature; but
such districts are hereby made subject to the provisions of this chapter as far
as applicable.

(b) Affect, impair or discharge any contract,
obligation, lien or charge for or upon which any district was or might become
liable or chargeable had this chapter not been passed.

(c) Affect the validity of any bonds which have
been issued but not sold.

(d) Affect any action pending on July 1, 1919.

3. In such districts as have been
organized prior to July 1, 1919, and in which directors of the various
divisions thereof have been elected by the votes of the electors of the
district at large, such elections are hereby confirmed.

4. In the cases of any district or
districts any portion of the proceedings for the organization of which were
instituted under prior existing laws and completed under the provisions of this
chapter, such district or districts shall be deemed to have been duly organized
under this chapter, and the organization thereof is hereby confirmed.

5. Any district organized under prior laws
of this state may adopt and subject itself to all the provisions of this
chapter by a unanimous resolution of its board of directors, and the
organization of such district is hereby confirmed.

6. The directors of any district organized
prior to July 1, 1919, and not divided into divisions may request the board of
county commissioners to define and establish such divisions, and the board of
county commissioners shall forthwith define and establish divisions in such
district as nearly equal in size as practicable and in number equal to the
directors in the district.

1. A majority in number of the holders of
title, or evidence of title, to lands susceptible of one mode of irrigation
from a common source or combined sources, and by the same system or combined
systems of works, may propose the organization of an irrigation district
pursuant to this chapter if they hold title or evidence of title to at least
one-half part of the total area of the land in the proposed district. In
computing the total area in the proposed district, the public domain of the
United States of America, excepting any portion thereof held by entrymen
pursuant to any law of the United States, must be excluded.

2. Every signer of a petition for the
organization of an irrigation district must be the holder of title or evidence
of title to land within the proposed district. The holder of a bona fide
contract to purchase land, having been in the actual possession thereof at
least 1 year pursuant to the contract, and whose name appears upon the
preceding equalized county assessment roll for the payment of taxes of the
land, shall be deemed the holder of title thereto for all of the purposes of
this chapter.

3. The equalized county assessment roll
next preceding the presentation of a petition for the organization of an
irrigation district is sufficient evidence of title for the purpose of this
chapter, but other evidence may be received, including receipts or other evidence
of rights of entrymen on land pursuant to any law of the United States. These
entrymen are competent signers of the petition and the land on which they have
made entries shall, for the purpose of the petition, be deemed to be owned by
them. The entrymen share all the privileges and obligations of freeholders and
owners of private land within the district pursuant to this chapter, including
the right to vote and hold office, subject to the terms of the Act of Congress
entitled “An Act to promote the reclamation of arid lands,” approved August 11,
1916, being c. 319, 39 Stat. 506, also designated as 43 U.S.C. §§ 621-630.

NRS 539.023Inclusion of state lands in district; Governor may sign
petition.

1. When within a proposed irrigation
district there exists one or more tracts of land owned and used by the State of
Nevada for state purposes and susceptible of the same mode of irrigation or
taking water for irrigation from the same source, system or combined systems as
other privately owned lands within the proposed district, the Governor, with
the advice of the State Engineer, may sign any petition for the organization of
such irrigation district.

2. Should such irrigation district be
thereafter organized in accordance with the provisions of law, such lands so
belonging to the State of Nevada shall be subject to the same rights,
privileges and obligations as are or may be belonging to or imposed on the
privately owned lands within the district, and in this respect and for the
purposes of carrying out the provisions of this chapter the heads of
departments or the commissions or boards having supervision or control of the
state institution to which such tracts or units of land are attached, for
supervisory purposes, shall include in their report and biennial budget for
submission to the Governor and Legislature such items or amounts as may from
time to time become an obligation on the lands of the district.

[Part 1:64:1919; A 1921, 118; 1927, 302, 309; 1929,
77; NCL § 8008]

NRS 539.025Contents of petition.

1. Whenever it is proposed to organize an
irrigation district, a petition shall first be presented to the board of county
commissioners of the county in which the lands or the greater portion thereof
are situated, signed by the required number, possessing the qualifications
provided for in NRS 539.020 and 539.023, which petition shall:

(a) Set forth and particularly describe the
proposed boundaries of the district.

(b) Pray that the same may be organized under the
provisions of this chapter.

2. The petitioners may determine in the
petition whether the proposed district shall be divided into three, five or
seven divisions, and whether it shall have three, five or seven directors. If
no number is named in the petition, the board of county commissioners may
determine whether the number shall be three, five or seven.

NRS 539.027Undertaking.The
petitioners must accompany the petition with a good and sufficient bond, to be
approved by the board of county commissioners, in double the amount of the
probable cost of organizing the district, conditioned that the bondsmen will
pay all of the costs in case the organization is not effected.

[Part 2:64:1919; A 1921, 118; NCL § 8009]

NRS 539.030Petition filed in office of county clerk; publication of notice
of time of meeting; newspaper in which publication to be made; contents of
notice.

1. The petition shall be filed in the
office of the county clerk and a notice thereof shall be published by the
county clerk for at least 2 weeks before the time at which it is to be
presented to the board of county commissioners. Publication shall be in some
newspaper printed and published in the county where the petition is presented,
which newspaper shall be designated by the board of county commissioners as the
newspaper most likely to impart notice of the hearing of the petition.

2. The notice shall set forth:

(a) That the petition has been filed.

(b) The time of the meeting of the board of
county commissioners to consider the petition.

(c) A description of the territory to be embraced
in the proposed district.

[Part 2:64:1919; A 1921, 118; NCL § 8009]

NRS 539.033Presentation of petition to county commissioners; hearing.When the petition is presented, and it shall
appear that the notice of the presentation of the petition has been given and
that the petition has been signed by the requisite number of petitioners as
required by this chapter, the board of county commissioners shall hold a
hearing on the petition.

1. Contiguous or neighboring lands
susceptible of irrigation from the common source or combined sources, not
included in the district as described in the petition, at the hearing may, upon
application of the holder or holders of title or evidence of title thereto as
prescribed in NRS 539.020 and 539.023, be included in the district.

2. Lands described in the petition not susceptible
of irrigation from such system or systems may upon similar application be
excluded therefrom.

3. The board of county commissioners shall
not modify the boundaries described in the petition so as to change the object
of the petition or so as to exempt from the operation of this chapter any land
which is susceptible of irrigation by such system or systems.

NRS 539.040Informalities in petition to be disregarded; reason for refusal
or dismissal of petition; mandamus.

1. In the hearing of any petition, the
board of county commissioners shall disregard any informalities therein.

2. If the board of county commissioners
deny the petition or dismiss it for any reasons on account of the provisions of
this chapter not having been complied with, which are the only reasons upon
which the board of county commissioners shall have the right to refuse or
dismiss the petition, the board of county commissioners shall state its reasons
in writing therefor in detail, which shall be entered upon its records.

3. If the reasons are not well founded, a
writ of mandamus shall, upon proper application therefor, issue out of the
district court of the county compelling the board of county commissioners to
act in compliance with this chapter, which writ shall be heard within 20 days
from the date of issuance, such time to be excluded from the time given the
board of county commissioners to act upon the petition.

NRS 539.043Order granting or denying petition; order granting petition to
establish boundaries and designate name.Upon
the completion of the hearing, the board of county commissioners shall
forthwith make an order denying or granting the prayer of the petition, and if
the same is granted shall, in the order, define and establish the boundaries
and designate the name of such proposed district and divide the same into
three, five or seven divisions, as prescribed in the petition, as nearly equal
in size as may be practicable.

1. Upon making an order granting the
prayer of the petition as provided in NRS 539.043,
the board of county commissioners shall by further order entered upon its
record submit to the qualified electors of the proposed district at the next
primary or general election the question of whether that district shall be
organized pursuant to the provisions of this chapter, and by that order shall
submit the names of one or more persons from each of the divisions of the
district to be voted for as directors of the district.

2. One director must be elected from each
division by the qualified electors of the district and be a qualified elector
of the district and holder of title, or evidence of title as prescribed in NRS 539.020 and 539.023,
to land within the division from which the director is elected.

1. The board of county commissioners shall
give notice of such election, which shall be published for 2 weeks prior to
such election in a newspaper within the county where the petition is filed.

2. Such notice shall require the electors
to cast ballots, which shall contain the words “Irrigation District — Yes,” or
“Irrigation District — No,” or words equivalent thereto, and the names of persons
to be voted for as directors.

NRS 539.053Conduct of election; absent voters’ ballots.Except as otherwise provided in this chapter,
all such elections shall be conducted as near as may be practicable in
accordance with the general election laws of this state, including the right to
vote by absent voter’s ballot.

[Part 4:64:1919; A 1927, 309; NCL § 8011]

NRS 539.055Canvass of votes; order declaring territory formed as district
under designated name; recording of order and plat.

1. The board of county commissioners shall
meet on or before the sixth working day succeeding such election and proceed to
canvass the votes cast thereat.

2. If upon such canvass it appears that a
majority of the electors voted “Irrigation District — Yes,” the board, by an
order entered upon its minutes, shall:

(a) Declare such territory duly organized as an
irrigation district under the name and style theretofore designated.

(b) Declare the persons receiving respectively
the highest number of votes for directors to be duly elected.

(c) Cause a copy of such order and a plat of the
district, each duly certified by the clerk of the board of county
commissioners, to be immediately filed for record in the office of the county
recorder of each county in which any portion of such lands is situated.
Certified copies thereof shall also be filed with the county clerks of such
counties.

NRS 539.057Conclusiveness of record of county commissioners concerning
proceedings.The record of the
board of county commissioners of the proceedings had and taken by it under the
provisions of this chapter shall be, in the absence of fraud, conclusive
evidence of the matters and things therein recited.

1. The name of any district organized
after July 1, 1919, pursuant to this chapter must contain either the words
“irrigation district,” “water conservation district,” “water conservancy
district” or “water improvement district.”

2. Any district organized and existing
before, on or after July 1, 1919, the name of which must include the words
“irrigation district,” may change its name by substituting for the word
“irrigation” either the words “water conservation,” “water conservancy” or
“water improvement,” or may change the entire name or designation of the
district by filing with the board of county commissioners, with which the
original petition was filed for the organization of the district, a certified
copy of a resolution of its board of directors adopted by the unanimous vote of
all the members of the board at a regular meeting thereof providing for such a
change of name. All proceedings of such a district must be had under the
changed name, but all existing obligations and contracts of the district
entered into under its former name must remain outstanding without change and
with the validity thereof unimpaired and unaffected by the change of name.

NRS 539.063Officers of district.The
officers of an irrigation district shall consist of three, five or seven
directors, a president and a vice president elected from their number, and a
secretary and treasurer.

1. The directors elected at the
organization election shall be selected by lot so that one, two or three
directors, according to whether there are in all three, five or seven on the
board, shall hold office until their successors are elected at the next regular
election and qualify, and two, three or four directors, as the case may be,
shall hold office until their successors are elected at the second regular
election after organization and qualify.

2. At the regular election biennially
thereafter directors shall be elected, to replace the directors whose terms
expire, for terms of 4 years, or until their successors are elected and
qualify. Directors so elected shall have the qualifications prescribed in this
chapter for directors elected at the time of organization.

[Part 5:64:1919; A 1933, 271; 1931 NCL § 8012]

NRS 539.067Directors: Oaths; bonds.

1. Within 10 days after receiving the
certificate of his or her election, each director shall take and subscribe to
an official oath and file the same with the secretary of the board of
directors.

2. Each member of the board of directors
shall execute an official bond in the sum of $2,000, which shall be approved by
the judge of the district court in and for the county where such organization
is effected. Such bonds shall be recorded in the office of the county recorder
and filed with the secretary of the board.

[Part 7:64:1919; A 1921, 118; NCL § 8014]

NRS 539.070Directors: Vacancies in office.

1. Any vacancy in the office of director
shall be filled from the division in which the vacancy occurs by the remaining
members of the board.

2. In cases where a vacancy occurs in the
office of director and the remaining directors, at the next regular monthly
meeting of the board of directors following such vacancy, do not by a majority
vote of such remaining directors appoint a successor to fill such vacancy, then
the president of the board of directors shall fill such vacancy by appointment.

3. In the event of the vacancy occurring
in the office of the director who is president of the board, then the vice
president shall fill the vacancy by appointment.

4. A director appointed to fill a vacancy,
as provided in this section, shall hold the office until the next biennial
election, and until the director’s successor is elected and qualified.

NRS 539.071Expansion of number of directors authorized if federal
reclamation project operated and project authorized for additional purposes;
procedure.

1. Notwithstanding any other provision of
this chapter, if an irrigation district operates a federal reclamation project
pursuant to a contract with the United States and the project is authorized for
purposes in addition to irrigation, the district may expand the number of
directors on the board of directors of the district in the manner provided in
this section.

2. The number of directors may be
increased pursuant to this section by a number not to exceed one less than the
number of elected directors on the board. The addition of directors pursuant to
this section may be proposed by resolution adopted by the board of directors or
upon the petition of not less than 51 percent of the qualified electors of the
district.

3. The resolution or petition proposing to
increase the number of directors must designate the number of additional
directors proposed, the interest to be represented by each additional director
and the method by which each additional director will be appointed. The
interest to be represented by each additional director must be an interest
which owns a water right for an authorized purpose of the federal reclamation
project.

4. The board of directors shall submit the
question of expanding the board of directors in accordance with the resolution
or petition to the qualified electors of the district at the next district
election or primary or general state election. Notice of the election must be
given in the manner provided in NRS 539.125.

5. If the result of the election is in
favor of the expansion, the board of directors must be expanded in accordance
with the resolution or petition. The new directors must be appointed at the
time of the next biennial election of directors, and must determine their
respective tenures of office in the manner provided in NRS
539.065. After the initial terms, directors appointed pursuant to this
section hold office for a term of 4 years. The successor to a director
appointed pursuant to this section must be appointed not later than the
biennial election which coincides with the expiration of the director’s term.

6. By resolution of the elected directors
or by petition of not less than 51 percent of the qualified electors of the
district, the directors added pursuant to this section may be eliminated, or
the interests they represent or their appointing authorities may be changed, in
the same manner that directors are added pursuant to this section.

NRS 539.073Organization of board; election and appointment of officers.

1. Immediately upon their election and
qualification following the organization election the board of directors shall
meet and organize, elect a president and a vice president, and appoint a
secretary and a treasurer.

2. On the first Monday in May next
following their election thereafter, the board of directors shall meet and
organize, elect a president and a vice president, and appoint a secretary and a
treasurer.

NRS 539.077Assistant secretary: Appointment; duties.The board may also appoint an assistant
secretary who shall exercise such of the powers and perform such of the duties of
the secretary as may be designated by the board of directors, except that such
assistant secretary shall not be invested with authority to sign on behalf of
the secretary any bonds of the district.

1. A member of the board of directors is
entitled to receive not more than $80 per day and actual traveling expenses for
each day spent attending meetings of the board or while engaged in official
business under the order of the board.

2. The board shall fix the compensation to
be paid to the other officers named in this chapter; but the board shall, upon
the petition of a majority of the electors within the district, submit to the
electors at any general election of the district a schedule of salaries and
fees to be paid the directors and officers thereof. The petition must be
presented to the board 20 days before the general election. The schedule of
salaries and fees must be put into effect upon the first of the month after the
election if it was approved by a two-thirds vote.

1. All directors and other officers named
in this chapter are prohibited from being directly or indirectly interested in
any contract awarded by the board or in the profits to be derived from the
contract.

2. For any violation of this section the
director or officer is guilty of a gross misdemeanor, and upon conviction
thereof forfeits his or her office.

NRS 539.085Regular meetings: Time and place; notice of change of time;
judicial day.

1. The board shall hold a regular monthly
meeting in its office on the day of the month fixed by resolution duly entered
upon the minutes. When the time for such a monthly meeting has been fixed it
cannot again be changed for 12 months, and it can only be changed by resolution
passed at least 2 months prior to the time such change shall take effect, and
upon publication in a newspaper of general circulation in the district for at
least 2 weeks prior to such change.

2. Should the regular meeting day fall
upon a nonjudicial day, such meeting shall be held on the first judicial day
thereafter.

NRS 539.087Special meetings: Calling by president or board; notice;
business to be transacted.

1. The board of directors shall hold such
special meetings as shall be required for the purpose of transaction of
business; but all special meetings must be called by the president or a
majority of the board.

2. The order calling such special meeting
shall be entered on the record, and the secretary shall give each member not
joining in the order 3 days’ notice of such special meeting.

3. The order must specify the business to
be transacted at such special meeting; and none other than that specified shall
be transacted.

NRS 539.095Quorum; affirmative vote of majority required for certain
questions.A majority of the
members constitutes a quorum for the transaction of business, but on all questions
requiring a vote, there must be an affirmative vote of at least a majority of
all the members of the board.

1. All records of the board shall be open
to the inspection of any elector during business hours.

2. The board of directors of each
irrigation district, or the secretary thereof, shall at any time allow any
member of the board of county commissioners, when acting under the order of
such board, to have access to all books, records and vouchers of the district
which are in the possession or control of the board of directors or the
secretary.

NRS 539.103Director not to be employed by district as engineer, watermaster
or manager.

1. No director shall, during the
director’s term of office, be employed by the district as district engineer,
watermaster or manager.

2. This section shall not be construed as
depriving the board of the right and power to appoint a committee or committees
to act for the board whenever and wherever necessary to carry out the purposes
of this chapter.

[74:64:1919; added 1929, 286; NCL § 8092]

ELECTIONS

Divisions and Precincts

NRS 539.105Establishment of precincts and polling places.

1. Each division shall constitute an
election precinct for the purposes of this chapter.

2. After the organization of the district
the directors may divide a division into two or more precincts and fix the
polling places therein.

3. By affirmative vote of all of their
number or of all of their number save one, the directors may reduce the number
of election precincts to one or more within the district, establish the
boundaries thereof, and fix the polling place or places therein.

1. Whenever in the opinion of the board of
directors it is advisable to do so, the board is empowered to change the
boundaries of one or more divisions of the district in order to equalize more
nearly the number of electors in the respective divisions, but new lands shall
not be included within the district boundaries and lands within the district
boundaries and lands within the district shall not be excluded by such change
of boundaries, except as otherwise provided in this chapter.

2. A change of division boundaries shall
become effective when a certified copy of a resolution making such change,
attached to a copy of a map or plat of the district delineating the new
division boundary lines, both being certified as correct by the secretary of
the district, shall be filed in the office of the county recorder of the county
in which the division whose boundaries have been so changed is situated.

NRS 539.110Procedure for changing number of directors and divisions;
election required.

1. The number of directors and the number
of divisions of any district organized pursuant to the laws of this state must
not be altered or changed except upon:

(a) A petition of not less than 51 percent of the
qualified electors of the district; or

(b) A resolution adopted by the board of
directors.

2. The petition or resolution must
prescribe the number of divisions into which the district is proposed to be
divided and must be accompanied by a map showing the proposed new division
boundaries, which map must be a part of the petition or resolution and must be
presented to the board of directors of the district at any regular meeting.

3. At its next regular meeting following
the presentation of the petition or adoption of the resolution, the board of
directors shall prepare or cause to be prepared a map of the district showing
the proposed new division boundaries, which map must be placed on file in the
office of the district. At least two copies of the map must be posted in other
conspicuous places in the district where the maps are available for inspection
by all interested persons.

4. The board of directors shall submit the
question of altering or changing the number of divisions of the district in
accordance with the petition to the qualified electors of the district at the
next district election or primary or general state election. Notice of the
election must be given in the manner provided in NRS
539.125, and must include notice of the places where the map showing the
proposed new division boundaries may be inspected.

5. If the result of the election is in
favor of the changes in the number of divisions and division boundaries of the
district, the next biennial election of directors is governed by the altered
conditions established by the election and the terms of office of all the
directors then in office and who were elected or appointed before the altered
conditions expire on the second Monday following the biennial election. The new
directors then elected shall determine their respective tenures of office in
the manner designated in NRS 539.065.

6. No petition or resolution to change the
number of directors and divisions of a district may be received or considered
within a period of 4 years following the date of an election held pursuant to
this section.

1. Not later than 60 days before any
general election of the district, if a petition, signed by the qualified
electors of the district equal in number to 35 percent of the qualified
electors of the district, requesting that directors from each division of the
district be elected by the qualified electors of that division and not by the
qualified electors of the district as a whole, is filed with the board of
directors, the board shall place upon the ballot of the next district election
or primary or general state election the question of whether directors from
each division shall be elected by the electors of the division and not by the
electors of the district as a whole.

2. If a majority of the votes cast at the
election are in favor of electing directors from each division by the electors
from that division alone, thereafter the directors in the district must be
elected in that manner.

NRS 539.115When regular elections of irrigation districts to be held.The regular elections of irrigation districts
shall be held on the first Tuesday after the first Monday in April of the
second calendar year after the completion of the organization thereof, and on
the same day biennially thereafter, or as to districts organized prior to July
1, 1919, biennially after the first regular election therein.

[Part 5:64:1919; A 1933, 271; 1931 NCL § 8012]

NRS 539.117When election need not be held; declaration of election of
candidates.If there shall be no
contests for office, and no matters or propositions to be voted upon at any
such election, then such election shall not be held, and the duly qualified candidates
shall be deemed elected as of the date the election would otherwise have been
held, and the board of directors must declare on its records such candidates to
have been elected.

[Part 5:64:1919; A 1933, 271; 1931 NCL § 8012]

NRS 539.120Declarations of candidacy; filing fees.

1. Nominations for the office of director
shall be made by filing a declaration with the secretary within 50 days before
the date of election and not later than 20 days before such election.

2. A candidate shall pay $25 filing fee
with such declaration.

[Part 5:64:1919; A 1933, 271; 1931 NCL § 8012]

NRS 539.123Eligibility to vote; number of votes elector may cast; certain
persons and entities entitled to vote and exercise rights of electors; filing
of designations or written consents.

1. Any person 18 years of age or older,
whether a resident of the district or not, who is or has declared his or her
intention to become a citizen of the United States is an “elector” for the
purposes of this chapter and is entitled to vote at any election held pursuant
to this chapter if the following conditions as to ownership of land are met:

(a) The elector must be the bona fide holder of
title or evidence of title, as defined in NRS 539.020
and 539.023, to land within the district or have a
contractual right to acquire title to land within the district upon payment of
a fixed sum to the record titleholder.

(b) The holder of an undivided interest in land
is an elector and, if the interest of the holder is community property, the
holder’s spouse is an elector if the spouse appears of record as the owner of
an interest in the acreage. If two or more persons hold undivided or community
interests in land, one such person may vote upon presenting the written consent
of his or her fellow holders.

(c) A surface water right must be appurtenant to
the acreage.

2. An elector is entitled to vote
according to the land which the elector owns outright, as follows:

(a) Ten acres or less, one vote;

(b) For each additional 10 acres or a part
thereof, up to and including 200 acres, one additional vote; and

(c) For each additional 100 acres or a part
thereof above 200 acres, one additional vote.

Ê The district
shall issue a separate ballot for each vote which an elector is entitled to
cast.

3. If two or more persons hold undivided
or community interests in land, each is entitled to cast a percentage of the
respective votes otherwise allowed pursuant to subsection 2 that is equal to
his or her percentage interest in that land, except that, if pursuant to this
subsection those persons are entitled to a fractional interest in a vote, that
vote may only be cast by one of those persons upon presenting the written
consent of his or her fellow holders.

4. Any elector who resides outside the
district, who owns land in the district, and who is qualified to vote at
district elections shall be deemed a resident of that division and precinct of
the district in which the major portion of the elector’s lands are located, for
the purpose of determining the elector’s place of voting and qualifications for
holding office.

5. Any elector who resides within the
district boundaries shall be deemed a resident of the division in which he or
she actually resides, for the purpose of determining the elector’s
qualification for voting and holding office.

6. A guardian, executor, administrator or
trustee shall be deemed the holder of title or evidence of title, as prescribed
in NRS 539.020 and 539.023,
to the land in the State for which he or she is the guardian, executor,
administrator or trustee, and has the right to sign petitions, vote and do all
things that any elector may do pursuant to this chapter. If there is more than
one guardian, executor, administrator or trustee, they must designate one of
their number to sign petitions, vote and do the other things that an elector
may do pursuant to this chapter.

7. Corporations, partnerships or
limited-liability companies holding land in the district shall be deemed
persons entitled to exercise all the rights of natural persons, and the
president of such a corporation, the general partner of such a partnership, the
manager of such a limited-liability company, or any other person authorized in
writing by the president of the corporation, the general partner of the
partnership or the members of the limited-liability company, may sign any
petition authorized by this chapter, and register and cast the vote of the
corporation, partnership or limited-liability company at any election. If a
partnership has more than one general partner, the general partners must
designate one of their number to sign petitions, vote and do the other things
that an elector may do pursuant to this chapter. If a limited-liability
company:

(a) Has more than one manager, the managers must
designate one of their number to sign petitions, vote and do the other things
that an elector may do pursuant to this chapter.

(b) Does not have a manager, the members must
designate one of their number to sign petitions, vote and do the other things
that an elector may do pursuant to this chapter.

8. Designations or written consents for the
purposes of registration and voting as authorized pursuant to this section must
be filed with the district not later than 14 days before the election.

NRS 539.125Notice of election: Contents; publication.The secretary shall cause to be published a
notice specifying the time and place of the election held pursuant to NRS 539.113. The notice must be published in a
newspaper published in the county or one of the counties in which the district
is located not less than 15 days nor more than 22 days before the election. If
no newspaper is published in such a county, the notice must be published in a
newspaper which has a general circulation in the county or counties.

1. No election for any purpose except for
organization shall be held in any irrigation district without registration.

2. If an elector is currently registered
on or registers after July 1, 1967, and remains eligible, the elector shall not
be required to reregister in order to vote at any succeeding election, but
before the elector shall be permitted to vote at such election, if the elector
shall not have reregistered therefor, the elector shall be required to take and
subscribe the registration oath before the board of election, on a form
provided by the district, as evidence of the elector’s continued eligibility.

NRS 539.130Secretary is ex officio district registrar; appointment of field
registrars; duties.

1. The secretary is ex officio district
registrar of the district, and may, at least 4 weeks before any election,
appoint a field registrar in each election precinct. Each field registrar shall
register all electors within his or her precinct applying for registration, and
for this purpose the field registrar has the authority to demand of the elector
all information and to administer all oaths required by this chapter.

2. The registrar and field registrars are
governed in the performance of their duties by the general election laws of
this state as far as they are applicable, and must be at their places of
registration to receive applications for registration from 7 a.m. until 7 p.m.
on the Wednesday immediately preceding the close of registration pursuant to NRS 539.133.

NRS 539.135Oath of individual registrant.The
registrars shall require registrants to take the following oath in substance: I
am, or have declared my intention to become, a citizen of the United States, am
over the age of 18 years, and am, or properly represent, under the law in
pursuance of which this election is to be held, the bona fide holder of title
or evidence of title, as defined in the law, to ..... acres of land within the
boundaries of the ................ (name of district) and such holding is for
all purposes and not simply for this election or matters connected therewith.

NRS 539.137Oath of registrants on behalf of entity that is not natural
person.The registrar shall
require registrants on behalf of an entity that is not a natural person to take
the following oath, in substance: I am over the age of 18 years, and the (position
held) of (name of entity), or have been duly authorized in writing to register
on behalf of (name of entity); that the entity is organized under or has
qualified under the laws of Nevada to transact business therein and is the
holder of title or evidence of title to ..... acres of land within the
boundaries of the ................ (name of district).

NRS 539.143Designation of registered voters in rosters and lists of
registered electors.In all
rosters and lists of registered electors prepared for any election under this
chapter, the names of electors who have registered or reregistered for such
election shall be distinguished from the names of those who voted at the last
preceding district election but who have not so registered or reregistered, by
the letter “R” enclosed in parentheses placed before each of the names of the
former and the omission thereof in connection with the names of the latter.

NRS 539.145Appointment of inspectors and clerks; designation of time and
place of election.

1. Before publishing a notice pursuant to NRS 539.125, the board of directors shall appoint
three qualified electors to act as inspectors of election in each election
precinct, and shall also appoint two clerks of election for each precinct.

2. If the board of directors fails to
appoint a board of election or the members appointed do not attend the opening
of the polls on the morning of election, the electors of the precinct present
at that hour may appoint the board or supply the place of absent members
thereof.

3. The board of directors shall, in its order
appointing the board of election, designate the hour and the place in each
precinct where the election will be held.

NRS 539.147Compensation of registrars and election officers.Registrars and election officers may receive
such compensation for their services as the board of directors shall prescribe,
not exceeding the amount paid for similar services at general elections.

[Part 7:64:1919; A 1921, 118; NCL § 8014]

NRS 539.150Election officers: Oath; vacancies.

1. Before opening the polls each inspector
and each clerk must take and subscribe to an oath to perform faithfully the
duties imposed upon him or her by law. Any elector of the precinct may
administer and certify such oath.

2. Vacancies occurring during the progress
of the election may be filled by the remaining inspector or inspectors, and any
inspector of election may administer and certify oaths.

[Part 7:64:1919; A 1921, 118; NCL § 8014]

NRS 539.153Applicability of general election laws.The
time of opening and closing the polls, the manner of conducting the election,
canvassing and announcing the result, the keeping of the tally list, the making
and certifying of the result, and the disposition of the ballots after election
shall be the same, as near as may be, as provided for elections under the
general election laws of this State.

[Part 7:64:1919; A 1921, 118; NCL § 8014]

NRS 539.155Returns delivered to secretary; canvass by board of directors;
declaration of result.

1. The returns shall be delivered to the
secretary of the district. No list, tally paper or returns from any election
shall be set aside or rejected for want of form if they can be satisfactorily
understood.

2. The board of directors shall meet at
its usual place of meeting on or before the sixth working day after an election
to canvass the returns, and it shall proceed in the same manner and with like
effect, as near as may be, as the board of county commissioners in canvassing
the returns of general elections.

3. When the board of directors shall have
declared the result, the secretary shall make full entries in the secretary’s
record in like manner as is required of the county clerk in general elections.

NRS 539.157Declaration of candidates receiving highest number of votes;
certificates of election.

1. The board of directors must declare
elected the person or persons having the highest number of votes given for each
office.

2. The secretary shall immediately make
out and deliver to such person or persons a certificate of election, signed by
the secretary and authenticated with the seal of the board.

[Part 7:64:1919; A 1921, 118; NCL § 8014]

Recall Elections

NRS 539.160Directors subject to recall from office.Every director of an irrigation district
organized and existing under the laws of the State of Nevada shall be subject,
as provided in NRS 539.160 to 539.187, inclusive, to recall from office by the
qualified electors of the irrigation district from which the director was
elected.

1. For the purpose of recalling any
director of an irrigation district there shall be first filed with the
secretary of the irrigation district from which such director was elected a petition
signed by qualified electors of such irrigation district equal in number to at
least 35 percent of the vote cast at the last preceding election held in and
for the district.

2. The petition shall also contain the
residence addresses of the signers, and shall set forth in not to exceed 200
words the reason why the recall is demanded.

[2:186:1927; A 1933, 98; 1931 NCL § 8207]

NRS 539.165Petition for recall: Use of copies; verification.The petition may consist of any number of
copies thereof, identical in form with the original, except for the signatures
and addresses of the residences of the signers. Every copy must be verified by
at least one of the signers thereof, who shall make oath, before any person
authorized by law to administer oaths, that the statements and signatures
contained in the petition are true.

NRS 539.167Petition for recall: Director must hold office 6 months.No petition for the recall of any director
shall be circulated or filed against any such director until the director has
actually held his or her office 6 months.

[Part 8:186:1927; NCL § 8213]

NRS 539.170Special election: Call; when held.Upon
the filing of the petition, the board of directors of the irrigation district
shall, not sooner than 10 days nor more than 20 days thereafter, issue a call
for a special election to be held within 20 days after the issuance of the call
therefor, in the irrigation district electing such director, to determine
whether the electors shall recall such director.

[Part 3:186:1927; NCL § 8208]

NRS 539.173Vacancy filled if director resigns; continuance in office if
director does not resign.

1. If the director shall offer his or her
resignation within 5 days after the filing of the petition, the resignation
shall be accepted, and the vacancy thereby caused shall be filled in the manner
provided by law.

2. If the director does not resign, he or
she shall continue to perform the duties of the office until the result of the
special election is finally declared.

[Part 3:186:1927; NCL § 8208]

NRS 539.175Removal of signature from recall petition: Procedure.Any signer of a petition to recall a director
of a district may, at any time within 5 days after the filing of the petition
with the secretary of the irrigation district, have his or her name stricken
from the petition by filing a written request therefor with the secretary of
the district. His or her name shall thereupon not be considered as a signer of
the petition.

[Part 3:186:1927; NCL § 8208]

NRS 539.177Nominating petitions for successors; filing.

1. Other candidates for the office may be
nominated to be voted for at the special election by petition, which petition
shall be signed by qualified electors of the district holding the election,
equal in number to 35 percent of the number of votes cast for the director
receiving the highest number of votes at the election next preceding.

2. The nominating petition shall be filed
with the secretary of the irrigation district at least 15 days prior to the
date of the special election.

[9:186:1927; A 1933, 98; 1931 NCL § 8214] +
[10:186:1927; NCL § 8215]

NRS 539.180Recall ballots: Reasons for recall and answer thereto; form of
proposal; names of nominees.

1. Upon the ballot for the election there
shall be printed verbatim, as set forth in the recall petition, the reason for
demanding the recall of the director, and in not more than 200 words, if
furnished by the director, the director’s justification of his or her course in
office.

2. If there are no other candidates
nominated to be voted for at the special election, there shall be printed on
the ballot the name of the director sought to be recalled, the office which he
or she holds, and the words “For Recall” and “Against Recall.”

3. If there are other candidates nominated
for the office to be voted for at the special election, there shall be printed
upon the ballot the name of the director sought to be recalled, and the office
which he or she holds, and the name or names of such other candidates as may be
nominated to be voted for at the special election, and the words “For Recall”
and “Against Recall” shall be omitted.

4. In other respects the ballot shall
conform with the requirements of the general election laws of this state.

[4:186:1927; NCL § 8209] + [5:186:1927; NCL § 8210]

NRS 539.183Result of recall election: Successor elected or vacancy in
office created.

1. If there are other candidates nominated
to be voted for at the special election, the candidate who receives the highest
number of votes at the special election shall be deemed elected for the
remainder of the term, whether it is the person against whom the recall petition
was filed or another.

2. If any director is recalled upon a
special election and the other candidates are not nominated to be voted for at
the special election, the vacancy thereby created shall be filled in the manner
provided by law.

[6:186:1927; NCL § 8211] + [7:186:1927; NCL § 8212]

NRS 539.185Subsequent recall proceedings barred during director’s term
unless previous election expenses paid by petitioners.After
one recall petition is filed and a special election held, no further recall
petition shall be filed against the same director during the term for which he
or she was elected, unless such further petitioners shall pay into the district
treasury, from which the expenses of the special election have been paid, the
whole amount paid out of the district treasury as expenses for the preceding
special election.

[Part 8:186:1927; NCL § 8213]

NRS 539.187Applicability of general election laws to recall elections.The general election laws of this state, so
far as applicable, shall apply to all elections held under NRS 539.160 to 539.187,
inclusive.

NRS 539.189Notice of election for election for issuance of bonds or other
securities: Contents.The notice
of election for any election held pursuant to this chapter which includes a
proposal for the issuance of any bonds or other securities must, in addition to
any other requirements of this chapter, contain an estimate of the annual cost
to operate, maintain and repair any buildings, structures or other facilities
or improvements to be constructed or acquired with the proceeds of the bonds or
other securities.

1. Do any and every lawful act necessary
to be done in order to accomplish the things and purposes described in this
chapter, including exercising on behalf of the district the powers that are
conferred upon the board of directors of a water conservancy district pursuant
to NRS 541.140 and 541.145.

NRS 539.193Agents and employees: Employment and appointment; duties;
compensation.The board of
directors shall have power to employ and appoint such agents, officers and
employees, delegates to conventions, or other representatives in the interest
of the district as may be required, and prescribe their duties and
remunerations.

NRS 539.195Entry upon land to make surveys and locate works.The board and its agents and employees shall
have the right to enter upon any land to make surveys, and may locate the
necessary irrigation and other works, and the lines of any canal or canals, and
the necessary branches for the same, on any lands which may be deemed best for
such location.

NRS 539.200Contracts of indemnity and guaranty.The
board of directors of any district now or hereafter organized under the
provisions of this chapter shall have power to enter into contracts of
indemnity and guaranty, in such form as may be approved by the board, relating
to or connected with the performance of any contract or agreement which the
district shall be empowered to enter into under the provisions of this chapter
or any other law of this state.

[10e:64:1919; added 1935, 135; 1931 NCL § 8021.01]

NRS 539.201Purchase of liability insurance.An
irrigation district may purchase and maintain insurance or make other financial
arrangements on behalf of any person who is or was an officer of the irrigation
district specified in NRS 539.063 or an agent,
officer, employee, delegate or representative appointed or employed pursuant to
NRS 539.193 for any liability asserted against the
person and liability and expenses incurred by the person in his or her capacity
or arising out of his or her status as such an agent, officer, employee,
delegate or representative of the irrigation district.

NRS 539.203Board of directors authorized to sue and to be sued.The board is authorized and empowered to
institute, maintain and defend, in the name of the district, any and all
actions and proceedings, suits at law and in equity.

[11:64:1919; 1919 RL p. 3274; NCL § 8022]

NRS 539.205Annual report to State Engineer; recommendations of State
Engineer.

1. At least as often as once a year after
the approval of the plans, the board of directors shall make a report to the
State Engineer of the progress of the work of the district and whether or not
the plan formulated under the provisions of this chapter is being successfully
carried out, and whether or not in the opinion of the board the funds available
will complete the proposed works.

2. Upon receipt of the report by the State
Engineer, the State Engineer shall make such suggestions and recommendations to
the board of directors as may be necessary to conserve the best interests of
the district.

[50:64:1919; 1919 RL p. 3287; NCL § 8067]

Property

NRS 539.207Acquisition of property.The
board of directors shall have the right to acquire, either by purchase,
condemnation or other legal means, all lands, rights and other property
necessary for the construction, use and supply, operation, maintenance, repair
and improvement of the works of the district, including canals and works
constructed and being constructed by private owners, lands for reservoirs for
the storage of water, and all other works and appurtenances, either within or
without the State of Nevada.

NRS 539.210Use of proceeds of bonds for acquisition.In case of purchase of property the bonds of
the district provided for in this chapter may be used in payment of not less
than 90 percent of their par value and accrued interest.

1. The board of directors is empowered,
without calling an election therefor, to lease, in the name of the district,
lands, from the United States Government or any other person or corporation,
that are situate within or without the district for use by the water users of
the district as a community pasture, under such rules and regulations as the
board may prescribe. The board shall collect such fees from the owners of
livestock using such pasture as will cover the cost of such lease and
operation.

2. In any district whose irrigated acreage
is less than 50,000 acres, the leasing of lands for use as community pasture is
hereby declared to be a proprietary function of the district. The county
assessor of the county in which such lands are located shall assess the
leasehold interest of the district in such lands for taxation as other lands so
used are assessed, and the district shall pay to the ex officio tax receiver of
such county the taxes levied upon the interest so assessed, at the same times
as other taxes upon real estate are paid.

3. The board of directors shall apportion
the amount of taxes so required to be paid among the several users of the
community pasture, and collect from each his or her proportionate share in
addition to any other fees charged.

NRS 539.215Investigations and representations requisite to acquiring
control over governmental lands.For
the purpose of acquiring control over government lands within the district, and
of complying with the provisions of c. 319, 39 Stat. 506, approved August 11,
1916, the board shall have power to make such investigation and base thereon
such representations and assurances to the Secretary of the Interior as may be
requisite.

1. Any lands bought by an irrigation
district at a sale for the payment of delinquent taxes or lands otherwise
acquired by the district which are not required for the purposes of the
district may be donated to the State or conveyed to any purchaser upon such
terms as the board of directors, by unanimous vote, deems to be in the best
interests of the district.

2. If there is an adequate supply of water
available for the land upon which no assessment, tax, charge or toll is owed,
the board of directors may make any desired disposition of the water right
appurtenant to that land.

NRS 539.220Construction of works across watercourse, road, railway, conduit
or other property; restoration of crossed property.

1. The board of directors shall have the
power to construct the works of the district across any stream of water,
watercourse, street, avenue, highway, railway, canal, ditch or flume, in such
manner as to afford security for life and property; but the board shall restore
the same when so crossed or intersected to its former state as near as may be
or in a manner not unnecessarily impairing its usefulness.

2. If a railroad company or those in
control of the property, thing or franchise to be crossed cannot agree with the
board upon the amount to be paid, or upon the point or points or the manner of
crossing or intersecting, the same shall be ascertained and determined as
provided in this chapter in respect to the taking of land.

[33:64:1919; 1919 RL p. 3282; NCL § 8046]

NRS 539.223Rights-of-way over state lands granted; duties of State Engineer
and Director of State Department of Conservation and Natural Resources.

1. The right-of-way is hereby given,
dedicated and set apart for the purpose of locating, constructing, operating
and maintaining irrigation or other works of a district, including reservoirs,
over, upon and through any of the lands which are now or which may hereafter be
the property of the State.

2. When such rights-of-way or reservoirs
are or will be occupied by a district for any of the purposes specified in this
chapter, the Director of the State Department of Conservation and Natural Resources
shall, upon receipt of a certificate to that effect from the State Engineer,
forthwith withdraw such lands from sale and issue his or her certificate and
notice to the district affected, stating in substance that such lands have been
and shall continue to be withdrawn from sale during the period such
rights-of-way or reservoirs shall remain in use and operation.

[34:64:1919; A 1935, 135; 1931 NCL § 8047] — (NRS A
1957, 656)

NRS 539.225Eminent domain; rules of practice.

1. All irrigation districts organized
under the laws of the State of Nevada shall have the right of eminent domain
with the power by and through their boards of directors to cause to be
condemned and appropriated in the name of and for the use of such districts all
reservoirs, canals and works, with their appurtenances, constructed for the
irrigation or drainage of any lands within the district or for uses incidental
thereto, and all lands required therefor, and all lands and rights-of-way
required for the works constructed, or to be constructed, or which may be
acquired by the district, and all necessary appurtenances and other property
and rights necessary for the construction, operation, maintenance, repair and
improvement of the works.

2. Such districts shall have the right by
and through their boards of directors to acquire by purchase or other legal
means any or all of the property mentioned and referred to in this section.

3. In any action or proceedings for the
condemnation of any such property wherein an irrigation district is plaintiff,
such district, within 6 months after final judgment, shall pay the amount
awarded in the judgment, or the judgment will be annulled.

4. Except as otherwise provided in this
chapter the provisions of NRS, Nevada Rules of Appellate Procedure and Nevada
Rules of Civil Procedure relative to the right of eminent domain, civil actions
and new trials and appeals shall be applicable to and constitute the rules of
practice in condemnation proceedings by irrigation districts.

[35:64:1919; 1919 RL p. 3283; NCL § 8048]

NRS 539.227Vested rights used in connection with mining or generation of
power not to be affected or taken.Vested
interests in or to structures, works and property or water rights owned or used
in connection with mining or power development shall never be affected by or
taken under the provisions of this chapter, except that rights-of-way may be
acquired by the district over or across such works and property.

[46:64:1919; 1919 RL p. 3285; NCL § 8062]

Water

NRS 539.230Appropriation and distribution; use by irrigation district
declared public use; place of use of water.

1. The board of directors may appropriate
or otherwise acquire water in accordance with the law, and also construct the
necessary dams, reservoirs and works for the collection, storage, conservation
and distribution of water for the district and for the drainage of the lands
thereof.

2. The collection, storage, conveyance,
distribution and use of water by or through the works of irrigation districts
organized before, on or after July 1, 1919, together with the rights-of-way for
canals and ditches, sites for reservoirs, electric power and transmission
lines, and all other works and property required to carry out fully the
provisions of this chapter, is hereby declared to be a public use.

3. The place of use of water appropriated
or otherwise acquired by an irrigation district may be within or outside the
boundaries of the district, may include all or any part of the lands within the
boundaries of the district and must be described in any application filed by
the district to appropriate or otherwise acquire the water. Water appropriated
or acquired by the district is appurtenant to and may be beneficially used and
applied to lands anywhere within the described place of use.

NRS 539.233Regulations for distribution and use of water; regulating and
measuring devices; distribution of regulations.

1. The board of directors shall have power
to establish bylaws, rules and regulations for the distribution and use of
water in the district, and to compel water users, at their expense, to install
measuring and regulating devices to effect and make a proper distribution of
water. If the user fails to install any such device when ordered, the district
may install the same and charge the actual cost thereof to the water user, and
such charge will be regarded and treated as a cost of distribution and
collected in the same manner from such water user.

2. The bylaws, rules and regulations shall
be printed in convenient form for distribution throughout the district.

NRS 539.234Petition for State Engineer to prescribe or clarify rules and
regulations relating to distribution and use of water within district.

1. An owner or an association of owners of
water rights located in an irrigation district may petition the State Engineer
to prescribe or clarify rules and regulations relating to the distribution and
use of water within the irrigation district. The State Engineer may prescribe
or clarify the rules and regulations addressed in the petition.

2. A person may seek judicial review of
any action taken by the State Engineer pursuant to subsection 1.

NRS 539.235Distribution of water by division or district for appropriate
charge.Water may be supplied by
contract, agreement or other legal matter by the district or by a division
thereof, when such division is created and authorized, to the United States of
America, or any department thereof, the State of Nevada, counties, cities,
towns, corporations, irrigation districts, individuals, associations or
partnerships, situated within or in the vicinity of the district, and an
appropriate charge, consideration or exchange made therefor, when such supply
is available or can be developed as an incident of or in connection with the
works of the district or the local undertakings of a division.

(a) Generate, produce, transmit and sell electric
power or electrical energy in any form in furtherance of the purposes of this
chapter.

(b) Acquire or contract for the delivery of
electric power and electric power or transmission lines.

2. In any irrigation district having a
reservoir or reservoirs for the storage of water with a capacity of less than
250,000 acre-feet, the board may not acquire or contract for the construction
or acquisition of electric power or transmission lines at a cost exceeding the
sum of $50,000 without first obtaining the approval of the electors of the
district at a special election, district election or primary or general state
election.

3. In any irrigation district having a
reservoir or reservoirs for the storage of water with a capacity of 250,000
acre-feet or more, the board may not acquire or contract for the construction
or acquisition of electric power or transmission lines at a cost exceeding the
sum of $100,000 without first obtaining the approval of the electors of the
district at a special election, district election or primary or general state
election.

1. Any proposal to enter into a contract
for the acquisition of electric power and transmission lines or to lease or
construct those lines:

(a) Of any irrigation district having one or more
reservoirs for the storage of water with a single or combined capacity of less
than 250,000 acre-feet, where the cost of the proposed acquisition, lease or
construction exceeds $50,000; or

(b) Of any irrigation district having one or more
reservoirs for the storage of water with a single or combined capacity of
250,000 acre-feet or more, where the cost of the proposed acquisition, lease or
construction exceeds $100,000,

Ê must be
voted upon at a special election, district election or primary or general state
election in the same manner as for the issuance of district bonds.

2. Notice of the election must contain, in
addition to the information required in the case of ordinary bond elections, a
statement of the maximum cost of the proposal, exclusive of penalties and
interest, together with a concise general statement and description of the
proposed acquisition or construction.

3. The ballots must contain a brief
statement of the general purpose for which the election is to be held, and the
maximum amount of the obligation to be assumed, with the words
“................ (Question) — Yes,” and “................ (Question) — No,” or
“................ (Question) and bonds — Yes,” and “............... (Question)
and bonds — No.”

4. If the proposal or the proposal and the
issuance of bonds therefor is approved at the election, the board may enter
into any contracts in connection with the proposal which it considers
necessary, expedient or desirable, including contracts for:

(a) Construction of the power and transmission
lines;

(b) The sale of the power;

(c) The transmission of power;

(d) The operation, maintenance or management of
the project; and

(e) Financing the costs of the project approved
in the election as an alternative to or in addition to any bonds to be issued,

Ê but the sum
of the amounts which the district is obligated to pay pursuant to those
contracts, excluding payments out of the revenue of the project, and any bonds
issued must not exceed the amount of the bonds approved in the election and
interest thereon at a rate not exceeding 5 percent above the Index of Revenue
Bonds which was most recently published before the contract is executed, bids
are received or a negotiated offer is accepted.

5. The board of directors may submit any
such contract or proposed contract and bond issue, if any, to the district
court of the county where the office of the board is located, to determine the
validity thereof and the authority of the board to enter into the contract or
acquisition, and the authority for and the validity of the issuance and deposit
and transfer of the bonds in the same manner as for the judicial determination
of the validity of bonds, and with like effect.

NRS 539.243Election required for approval of lease of power plant or
transmission system owned or controlled by district.No
contract for the leasing of any electric power plant or transmission system
owned or controlled by the district may be made or entered into by the board of
directors unless the contract is submitted to the qualified electors of the
district at a special election, district election or primary or general state
election and approved by a majority vote.

1. To secure complete drainage of the
lands within any irrigation district, including field drainage and storm
drainage, the board of directors is vested with full power to widen, straighten
or deepen any watercourse or remove any obstruction or rubbish therefrom,
whether the watercourse is situated in, outside of or below the district, and,
when it is necessary, straighten or alter the natural watercourse by cutting a
new channel upon other lands.

2. The value of the lands to be occupied
by the new channel, and damages, if any, made by the work may be ascertained or
paid in the manner provided for the exercise of the right of eminent domain in
this state.

3. The expenses of the work provided for
in this section must be paid from money arising from assessments upon lands
within the district or in any lawful manner acquired.

NRS 539.255Award of contract in case of emergency or necessity without
advertising for bids.In case of
necessity, the board of directors, by unanimous vote of those present at any
regular or special meeting, may contract for the construction or repair of any
part of the system of works, and may, in the ordinary course of business,
purchase any necessary machinery or materials.

NRS 539.260Direction and satisfaction of district engineer; approval by
board.The work shall be done
under the direction and to the satisfaction of the engineer employed by the
district and approved by the board.

[Part 30:64:1919; A 1921, 118; 1925, 203; 1927, 309;
NCL § 8043]

NRS 539.263Contract not to be let unless sufficient money in treasury or
payable in district’s bonds.No
contract of any kind shall be let by the board of directors unless there is
sufficient money in the district treasury at the time such contract is let to
pay fully for the work or material so contracted for, or unless such contract
is made payable in bonds of the district as provided for in NRS 539.570 to 539.577,
inclusive.

[Part 30:64:1919; A 1921, 118; 1925, 203; 1927, 309;
NCL § 8043]

NRS 539.265When bids may be dispensed with; use of construction fund.On the petition of a majority of the electors
of the district, the board of directors may do any construction or repair of
any part of the work on behalf of the district without calling for bids, and
the board may use the construction fund therefor.

NRS 539.267Performance of acts necessary to carry out enlarged powers.The board of directors shall generally perform
all such acts as shall be necessary to carry out the enlarged powers enumerated
in NRS 539.270, 539.273
and 539.333.

[Part 55:64:1919; 1919 RL p. 3288; NCL § 8073]

Cooperation With United States and State of Nevada

NRS 539.270General powers.In
addition to the powers with which irrigation districts are or may be vested
under the laws of the State, irrigation districts shall have the following
powers:

1. To cooperate and contract with the
United States under the Federal Reclamation Act of June 17, 1902, and all acts
amendatory thereof or supplementary thereto, or any other Act of Congress
heretofore or hereafter enacted authorizing or permitting such cooperation.

2. To cooperate and contract with the
State of Nevada under any laws heretofore or hereafter enacted authorizing or
permitting such cooperation.

[Part 54:64:1919; A 1923, 289; 1933, 271; 1931 NCL §
8072]

NRS 539.273Purposes of cooperation and contract.The
cooperation and contract authorized by NRS 539.270
may be for any or all of the following purposes:

1. Construction of works, whether for
irrigation or drainage, or both.

5. Assumption as principal or guarantor of
indebtedness to the United States on account of district lands or for the
collection of moneys due the United States as fiscal agents or otherwise.

[Part 54:64:1919; A 1923, 289; 1933, 271; 1931 NCL §
8072]

NRS 539.275Provisions includable in contract.The
board of directors may enter into obligations or contracts with the United
States for the purposes designated in NRS 539.273,
and may provide therein:

1. For the delivery and distribution of
water to the lands of such district under the Acts of Congress specified in NRS 539.270 and the rules and regulations established
thereunder.

2. For the conveyance to the United
States, as partial consideration for the privileges obtained by the district
under the contract, of water rights or other property of the district.

[Part 55:64:1919; 1919 RL p. 3288; NCL § 8073]

NRS 539.277Bonds: Transfer to or deposit with United States; payment of
interest and principal; rate of interest; call for repayment.

1. When a contract has been or may
hereafter be made with the United States, bonds of the district may be
transferred to or deposited with the United States, if so provided by the
contract and authorized as set forth in this chapter, at not less than 95
percent of their par value at the amount or any part thereof to be paid by the
district to the United States.

2. The interest on or principal of the
bonds, or both, must be raised by assessment and levy as prescribed in this
chapter and be regularly paid to the United States and applied as provided in
the contract.

3. Bonds transferred to or deposited with
the United States may call for the payment of that interest, which must not
exceed by more than 5 percent the Index of Revenue Bonds which was most
recently published before the bids are received or a negotiated offer is
accepted, may be of such denomination, and may call for the repayment of the
principal at such times as may be agreed upon between the board and the
Secretary of the Interior.

1. The contract with the United States may
also call for the payment of the amount or any part thereof to be paid by the
district to the United States at such times and in such installments and with
such interest charges, which must not exceed by more than 5 percent the Index
of Revenue Bonds which is in effect at the time the agreement is made, as may
be agreed upon, and for assessment and levy therefor as provided in this
chapter.

2. The obligations of those contracts are
a prior lien to any subsequent bond issue.

NRS 539.283Distribution and apportionment of water; refusal of service to
delinquent land; assessment to maintain existing works.

1. All water delivered to the district or
the right to the use of which is acquired by the district, under any contract
with the United States, shall be distributed and apportioned by the district in
accordance with the Acts of Congress applicable thereto, the rules and regulations
of the Secretary of the Interior thereunder, and the provisions of the
contract. Provision may be made in the contract between the district and the
United States for the refusal of water service to any or all lands which may
become delinquent in the payment of any assessment, toll or charge levied or
imposed for the purpose of carrying out any contract between the district and
the United States.

2. In case of a contract with the United
States under which the district assumes the operation and maintenance of the
existing works, assessments, tolls and charges may be levied or imposed by the
board of directors, as provided in this chapter, to raise the sums required
annually therefor, including amounts due the United States under the contract.

[57:64:1919; 1919 RL p. 3289; NCL § 8075]

NRS 539.285Rent or lease of water.Districts
cooperating with the United States may rent or lease water to private lands,
entrymen or municipalities in the neighborhood of the district in pursuance of
the contract with the United States.

[Part 55:64:1919; 1919 RL p. 3288; NCL § 8073]

NRS 539.287Dissolution of district or change of boundaries: Consent of
Secretary of Interior; excluded areas free from liens and charges.

1. When a contract shall have been entered
into and is in force and effect between the United States and any irrigation
district, the district shall not be dissolved, nor shall the boundaries be
changed, except upon written consent of the Secretary of the Interior, filed
with the official records of the district.

2. If such consent is given and lands are
excluded, the areas excluded shall be free from all liens and charges for
payments to become due to the United States.

[Part 62:64:1919; 1919 RL p. 3291; NCL § 8080]

NRS 539.290Collection of money or action as fiscal agent of United States:
Acceptance of appointment; duties, liabilities and powers of district.The board of directors may accept on behalf of
the district an appointment of the district as fiscal agent of the United
States, or authorization of the district by the United States to make
collection of moneys for or on behalf of the United States in connection with
any federal reclamation project, whereupon the district shall be authorized so
to act and to assume the duties and liabilities incident to such action. The
board shall have full power to do any and all things required by the federal
statutes now or hereafter enacted in connection therewith, and all things
required by the rules and regulations now or that may hereafter be established
by any department of the Federal Government in regard thereto.

[Part 55:64:1919; 1919 RL p. 3288; NCL § 8073]

NRS 539.293Additional bonds of district officers: When required; inspection
of district books by federal agents.

1. In any case where an irrigation
district is appointed fiscal agent of the United States in connection with any
federal reclamation project, or by the United States, or under a contract
therewith is authorized or required to make collection of moneys on behalf of
the United States, or for payments due the United States under any such
contract, each director of the district, and the secretary and the treasurer
thereof, shall execute a further and additional bond in such sum as the
Secretary of the Interior may require, conditioned for the faithful discharge
of the duties of his or her office, or as fiscal or other agent of the United
States, or both.

2. Any such bonds may be sued upon by the
United States or any person injured by the failure of such officer or officers
of the district to perform fully, promptly or completely their respective
duties.

3. This requirement shall apply to the
directors of a division and, insofar as applicable, to the officers of a
district acting in that relation, in case of a contract between the United
States and such division.

4. In all cases of contracts with the
United States as described above, the board of directors of the district, or of
a division thereof, and the secretary and treasurer of a district, shall at any
time allow any officer or employee of the United States, when acting under the
order of the Secretary of the Interior, to have access to all books, records
and documents which are in the possession or control of such officers.

[65:64:1919; 1919 RL p. 3293; NCL § 8083]

NRS 539.295Conveyance of property to United States.Any rights-of-way or other property owned or
acquired by the district may be conveyed by the board to the United States
insofar as the same may be needed for the construction, operation and
maintenance of works by the United States pursuant to this chapter.

[58:64:1919; 1919 RL p. 3290; NCL § 8076]

NRS 539.297Authorization of proposal to enter into contract.Any proposal to enter into a contract with the
United States for the repayment of money for construction, the cost of a water
supply, the operation and maintenance of existing works, or the acquisition of
property, and to issue bonds if any are proposed, must be voted upon at a
special election, district election or primary or general state election in the
manner provided in the case of the ordinary issuance of district bonds.

NRS 539.300Notice of election: Contents.Notice
of the election provided for in NRS 539.297 shall
contain, in addition to the information required in the case of an ordinary
bond election:

1. A statement of the maximum amount of
money to be payable to the United States for construction purposes, costs of
water supply and acquisition of property, exclusive of penalties and interest.

2. A general statement of the property, if
any, to be conveyed by the district as provided in this chapter.

[Part 56:64:1919; 1919 RL p. 3289; NCL § 8074]

NRS 539.303Ballots: Form.The
ballots at the election shall contain a brief statement of the general purpose
of the contract and the amount of the obligation to be assumed, with the words
“Contract — Yes,” and “Contract — No,” or “Contract and bonds — Yes,” and “Contract
and bonds — No,” as the case may be.

[Part 56:64:1919; 1919 RL p. 3289; NCL § 8074]

NRS 539.305Validation proceedings.The
board of directors may submit any contract or proposed contract and bond issue
to the district court of the county wherein is located the office of the board
to determine the validity thereof and the authority of the board to enter into
such contract, and the authority for and the validity of the issuance and
deposit or transfer of the bonds. The same proceedings shall be had as in the
ordinary case of the judicial determination of the validity of bonds and with
like effect.

[Part 56:64:1919; 1919 RL p. 3289; NCL § 8074]

NRS 539.307Directors relieved of certain duties; adoption of surveys and
plans made by United States.The
board of directors of a district is relieved from the duties imposed upon it in
NRS 539.255, 539.260, 539.263 and 539.540 to 539.557, inclusive, insofar as the same may not be
required in case of a contract between the district and the United States, and
in that relation may take advantage of or adopt such surveys and plans as may
have been or be made by the United States.

NRS 539.310Payments from revenue derived from annual assessments upon real
property; property liable to assessment and levy.All
payments due or to become due to the United States under any contract between
the district and the United States, including such payments of interest and
principal on bonds as may be required in connection with a deposit or transfer
thereof to the United States, shall be paid, unless otherwise provided by
contract, by revenue derived from annual assessments apportioned as prescribed in
this chapter, and levies thereof upon such real property within the district as
may be assessable for district purposes under the laws of the State or by tolls
and charges, as the case may be. Such real property shall be and remain liable
to be assessed and levied upon for such payments.

[Part 59:64:1919; A 1927, 309; NCL § 8077]

NRS 539.313Annual levy or imposition of tolls or charges to meet payments.The board of directors annually shall levy an
assessment or impose and cause to be collected tolls or charges sufficient to
raise the money necessary to meet all payments when due as provided in the
contract.

[Part 59:64:1919; A 1927, 309; NCL § 8077]

NRS 539.315Apportionment of assessment in accordance with benefits;
ascertainment of benefits.

1. The assessment required in any year to
meet the payment due to the United States under the contract may be in accord
with an apportionment of benefits made in or in pursuance of such contract.

2. In the ascertainment of such benefits
there shall be taken into account:

(a) The provisions of the contract between the
United States and the district, the federal laws applicable thereto, and the
notice and regulations issued in pursuance of those laws.

(b) In addition, in case such contract is for the
assumption by the district as principal or guarantor of indebtedness to the
United States theretofore existing on account of district lands, the provisions
of existing contracts carrying such indebtedness and the amounts of such liens
as may be released in pursuance of the contract between the United States and
the district.

[61:64:1919; 1919 RL p. 3291; NCL § 8079]

NRS 539.317Assessment of federal public land.Public
lands of the United States within any district shall be subject to assessment
for all purposes of this chapter to the extent provided for by the Act of
Congress approved August 11, 1916, entitled “An Act to promote reclamation of
arid lands,” or any other law which may hereafter be enacted by Congress in the
same relation, upon full compliance therewith by the district.

[Part 59:64:1919; A 1927, 309; NCL § 8077]

NRS 539.320Obligation of district in case of default of land.Nothing contained in this chapter shall be
construed to relieve the district from its obligation to pay as a district in
case of the default of any land, unless so provided by the contract between the
district and the United States.

[Part 59:64:1919; A 1927, 309; NCL § 8077]

NRS 539.323Money paid to district treasury and held in United States
Contract Fund; disposition of surplus.

1. All moneys collected in pursuance of
the contract by assessment and levies or otherwise, and to be paid to the
United States, shall be paid into the district treasury and held in a fund to
be known as the United States Contract Fund, to be used for payments due to the
United States under any such contract.

2. Any surplus moneys that may remain in the
United States Contract Fund after any annual or semiannual payment due the
United States under the terms of the contract has been fully paid may be
transferred to the operation and maintenance fund.

[Part 59:64:1919; A 1927, 309; NCL § 8077]

NRS 539.325Contracts for release of mortgages or liens; assumption by
district of indebtedness due United States; apportionment of benefits;
collection and payment of taxes and assessments.

1. The board of directors may also provide
by contract with the United States for the release of mortgages or liens given
or reserved to the United States upon district lands, and may provide for the
assumption by the district, either as principal or guarantor, of indebtedness
to the United States on account of district lands, and apportion to each tract
of land so released benefits in the amount of the obligations to the United
States so provided to be released.

2. The contract between the district and
the United States may provide for the collection and payment of indebtedness so
incurred or assumed by the district and the tax or assessment for the same at
the same times and in the same amounts or installments provided in the federal
reclamation laws. If so provided in the contract, such taxes and assessments
shall become delinquent at the same dates provided in the Act of Congress of
August 13, 1914, being c. 247, 38 Stat. 686, known as the Reclamation Extension
Act. If it is provided in the contract that the United States waives any
penalties for delinquency other or greater than those named in the Reclamation
Extension Act, then, instead of the penalties otherwise provided in state laws,
the penalties for delinquency in the payment of that part of the tax
representing the special assessment for payment of the obligations of the
district to the United States shall be the penalties named in the Reclamation
Extension Act, and the amount required to be paid in case of any redemption
from any tax sale or tax judgment shall be determined by figuring the part
thereof due to the United States upon the basis of the amount of such special
assessment levied for the purpose of paying the United States plus the
penalties named in the Reclamation Extension Act.

3. The board shall have full power to do
any and all things required by the federal statutes now or hereafter enacted in
connection therewith, and all things required by the rules and regulations now
or that may hereafter be established by any department of the Federal
Government in regard thereto.

[60:64:1919; 1919 RL p. 3290; NCL § 8078]

NRS 539.327Exclusion of district division outside scope of contract.When an irrigation district comprises lands
which are or may be served by works constructed by the United States, and a
contract is proposed to be entered into with the United States for the
operation and maintenance by the district of the existing works, or for the
construction of a drainage system or other extension or improvement of such
works, and the lands in a division of the district may be regarded as clearly
outside the scope of such contract, the election thereon and for the
authorization of the program or undertaking contemplated thereby may be
confined to the remaining portion of the district exclusive of such division,
and the apportionment of the benefits may be made accordingly. Otherwise, the
proceedings in connection with such contract and the program or undertaking
contemplated thereby shall be as provided in this chapter.

[64:64:1919; 1919 RL p. 3292; NCL § 8082]

NRS 539.330Contracts of district divisions with United States.Divisions of a district may contract with the
United States in the manner provided in NRS 539.405
to 539.420, inclusive.

[Part 63:64:1919; 1919 RL p. 3291; NCL § 8081]

Cooperation With Counties

NRS 539.333General power; purposes.

1. In addition to the powers with which
irrigation districts are or may be vested under the laws of the State,
irrigation districts shall have the power to cooperate and contract with the
county or counties in which any of the lands of the district may be situated
for the following purposes:

(a) Acquisition of lands within the district
purchased by the county at delinquent tax sales.

(b) Recovering for the district its proportion of
delinquent taxes from the proceeds of the sale of such lands by the county.

(c) Adjustment of all matters growing out of the
sales of lands within the district on account of delinquent taxes.

2. The proper county officials are also so
authorized to contract.

[Part 54:64:1919; A 1923, 289; 1933, 271; 1931 NCL §
8072]

Cooperation With Other Districts

NRS 539.335Authority to enter into agreements with districts in adjoining
states.It shall be lawful for
irrigation districts organized or existing under or by virtue of the laws of
the State of Nevada to enter into agreements with contiguous adjoining
irrigation districts in other states for the joint construction, acquisition,
management and control of diverting, impounding or distributing works for the
irrigation or drainage of the lands within the boundaries of their respective
districts.

[1:188:1919; 1919 RL p. 3307; NCL § 8232]

NRS 539.337Written contracts or resolutions.Such
agreements may be evidenced by written contracts executed on behalf of the
board of directors or trustees of each respective district or by resolutions
entered upon their respective minutes.

[Part 2:188:1919; 1919 RL p. 3307; NCL § 8233]

NRS 539.340Recordation of contracts and resolutions.Such contracts or certified copies thereof and
certified copies of such resolutions shall be recorded in the office of the
county recorder in each county in which is situated any of the lands of the
districts or any of the reservoir sites or other real property owned by the
districts or acquired under the provisions of NRS
539.335 to 539.353, inclusive.

[Part 2:188:1919; 1919 RL p. 3307; NCL § 8233]

NRS 539.343Provisions as to ownership of property.Such
agreements may provide for joint or several ownership or ownership in common of
the property necessary or convenient for the purposes of NRS
539.335 to 539.353, inclusive, and may provide
for the terms and conditions under which, or the respective proportions in
which, such property shall be held.

[Part 3:188:1919; 1919 RL p. 3308; NCL § 8234]

NRS 539.345Trial of disputes and enforcement of rights.Any rights or disputes arising out of or from
the agreements may be tried before and enforced by any court of competent
jurisdiction in this state.

[Part 3:188:1919; 1919 RL p. 3308; NCL § 8234]

NRS 539.347Meeting in adjoining state valid.Any
meeting of the board of directors of any such district, held in conjunction
with the board of directors of the cooperating district, in the office of such
district in the adjoining state, if duly and regularly called as required by
law or if regularly adjourned to, shall be as lawful and valid as if held at
the office of the board of directors of such district in this state.

[4:188:1919; 1919 RL p. 3308; NCL § 8235]

NRS 539.350Diversion of water.It
shall be lawful for the purposes of such cooperative action to divert water
from this state for impounding in the adjoining state or otherwise for
distribution to the lands of the cooperating districts, regardless of the state
in which such lands are situated, or to divert water from such adjoining state
for impounding or otherwise for distribution to the lands of such cooperating
districts in this or the adjoining state.

[5:188:1919; 1919 RL p. 3308; NCL § 8236]

NRS 539.353Holding of property in this state or in adjoining state.So far as may be necessary for fully carrying
out the purposes of NRS 539.335 to 539.353, inclusive, such cooperating district in the
adjoining state may hold title to property in this state, and such cooperating
district in this state may hold title to property in the adjoining state.

[6:188:1919; 1919 RL p. 3308; NCL § 8237]

Privileges of Districts of Adjoining States

NRS 539.355Foreign irrigation district authorized to acquire land by
purchase or condemnation; conditions.Any
irrigation district heretofore organized and existing under the laws of any
state adjoining the State of Nevada, which is now qualified to do business in
the State of Nevada as a foreign corporation in the manner provided by law for
the qualification of foreign corporations doing business within the State of
Nevada, and when the irrigation district is now the owner of lands within the
State of Nevada, such lands being now used for reservoir purposes, may and
hereby is authorized to acquire title to any land within the State of Nevada by
purchase or condemnation necessary or required for dams, ditches, reservoirs
and other works for the diversion, conveyance or storage of water which lies
within any watershed from which the irrigation district obtains its water
supply for the irrigation and development of lands within the boundaries of the
irrigation district in the adjoining state.

[1:180:1941; 1931 NCL § 8258]

NRS 539.357Use of land declared public use.The
use of any land and the necessity therefor within the State of Nevada for
either, any or all of the purposes specified in NRS
539.355 and 539.360 is hereby declared to be a
public use.

[2:180:1941; 1931 NCL § 8258.01]

NRS 539.360Provisions applicable if reciprocal rights granted.The provisions of NRS
539.355 and 539.357 shall apply to irrigation
districts organized and existing under the laws of an adjoining state only when
such adjoining state grants like rights and privileges in that state to
irrigation districts organized and existing under the laws of the State of
Nevada.

[3:180:1941; 1931 NCL § 8258.02]

DIVISIONS IN IRRIGATION DISTRICTS

Improvements

NRS 539.363Power of division to construct improvements.Any one of the several divisions of a district
may provide for the construction of local drains, laterals, electric power and
electric transmission lines, or for the leasing and acquisition of electric
power and electric transmission lines, or for a domestic water supply, or may
contract for the delivery of electricity, or other improvements, or the
replacement or extension of existing works or structures, the benefits of which
are limited to such division, in the manner provided in NRS
539.363 to 539.403, inclusive.

[Part 49:64:1919; A 1921, 118; 1923, 289; 1951, 438]

NRS 539.365Petition to district directors: Contents; appointment of local
board.Upon presentation to the
board of directors of the district of a petition, signed by a majority of the
electors of such division representing at least one-half of the total acreage
thereof, describing in a general way the local matters proposed to be
undertaken, and the estimated cost of preliminary surveys and engineering data,
and naming two electors of such division for local directors thereof, the board
of directors of the district shall consider such petition at a regular meeting,
and, if it finds that the law has been complied with, shall approve the same
and appoint the electors named in the petition as members of the local board.

[Part 49:64:1919; A 1921, 118; 1923, 289; 1951, 438]

NRS 539.367Local board: Composition; terms of office; vacancies.

1. One local director shall hold office
until his or her successor is elected at the next biennial district election
and qualifies, and the other local director shall hold office until his or her
successor is elected at the second biennial district election after his or her
appointment and qualifies.

2. The terms of such local directors shall
be determined by lot, and their successors shall be elected for 4-year terms at
the biennial elections.

3. The two local directors, with the
director of the district from the division, shall constitute the local board of
such division.

4. The directors of the district shall
fill any vacancy in the office of local director of a division by the
appointment of a qualified elector from the division in which the vacancy
occurs.

[Part 49:64:1919; A 1921, 118; 1923, 289; 1951, 438]

NRS 539.370Compensation of local directors.Each
member of the local board of a division shall receive $5 per day for each day
in attending meetings of the board, or while engaged in official business under
the order of the board.

[Part 49:64:1919; A 1921, 118; 1923, 289; 1951, 438]

NRS 539.373Powers of local board concerning improvements.The local board may provide for the local
undertakings named in NRS 539.363, being authorized
for that purpose, insofar as applicable, to exercise the powers and perform the
duties granted to or imposed upon the board of directors of the district in
connection with its affairs.

[Part 49:64:1919; A 1921, 118; 1923, 289; 1951, 438]

NRS 539.375Board of directors of district may incur debts and issue
warrants; limitations; assessments.

1. The board of directors of the district
may:

(a) Incur an indebtedness not exceeding, in the
aggregate, the sum of $15,000, and not exceeding the estimated cost of
preliminary surveys and engineering data; and

(b) Cause warrants of the district to issue
therefor, bearing interest at a rate which does not exceed by more than 5
percent the Index of Revenue Bonds which was most recently published before the
bids are received or a negotiated offer is accepted.

2. The directors of the district may levy
an assessment on all the lands in a division benefited by the proposed
improvements, in addition to any assessment by the district on the lands within
the division, for the payment of the expenses and the redemption of the
warrants.

NRS 539.377Plans and estimates of local undertakings: Preparation;
statement of source of money; statement of purposes.The
local board shall thereupon prepare plans and estimates of the local
undertakings proposed to be accomplished by such division, stating therein
whether the funds therefor are to be raised by a single special assessment not
in excess of a stated amount per acre upon the lands benefited, or whether the
board is to be authorized to secure the necessary amounts by way of
certificates of indebtedness or notes redeemable by annual assessments upon the
lands benefited extending over a period of years. If the latter method is to be
used, a general statement of the purposes for which the money is to be raised
may be substituted for more explicit plans and estimates.

[Part 49:64:1919; A 1921, 118; 1923, 289; 1951, 438]

NRS 539.380Filing of plans and estimates or statement with district
secretary; request for election.The
plans and estimates or statement must be filed with the secretary of the
district, accompanied by a request of the local board that the question of
whether to authorize the proposed special assessment or assessments and the
construction of the proposed works be submitted to the electors of the division
at a special election or the next district election or primary or general state
election.

1. The secretary of the district shall
give notice of the purpose, time and place of such election, naming the polling
place and inspectors and clerks of the election suggested by the local board.

2. The notice shall be published in the
manner provided in this chapter for an election for special assessments in the
district.

[Part 49:64:1919; A 1921, 118; 1923, 289; 1951, 438]

NRS 539.385Conduct of election.The
election shall be held, as near as may be, as provided in this chapter for an
election for special assessments in the district.

[Part 49:64:1919; A 1921, 118; 1923, 289; 1951, 438]

NRS 539.387Terms of local directors terminate and local board dissolved if
proposal fails.If such election
fails of the required two-thirds vote of the electors of the division, the
terms of office of the local directors shall thereupon terminate and the local
board shall be dissolved.

[Part 49:64:1919; A 1921, 118; 1923, 289; 1951, 438]

NRS 539.390Authorization for improvements at election; levy and collection
of assessments.If the special
assessment or certificates or notes of indebtedness and construction of the
proposed works are authorized at the election, the local board shall levy such
assessments or, as the case may be, shall proceed to the levying of annual
assessments for the payment of interest and the redemption of certificates of
indebtedness or notes. A list of such assessments or the first annual
assessment, if to be made that year, shall be delivered to the treasurer of the
district and entered by the treasurer in the assessment book or books thereof,
and such assessment or assessments, and the collection thereof, shall
thereafter take the course of assessments of the district as provided in this
chapter.

[Part 49:64:1919; A 1921, 118; 1923, 289; 1951, 438]

NRS 539.393Certificates of indebtedness and notes: Signatures of officers
of district; treated as bonds of district.Certificates
of indebtedness or notes shall be signed by the officers of the district and,
except in the matter of assessments for interest and redemption being limited
to the division, shall be treated in the same manner as district bonds.

[Part 49:64:1919; A 1921, 118; 1923, 289; 1951, 438]

NRS 539.395Apportionment of benefits; method of levy and collection of
assessments.Benefits shall be
apportioned upon the land within such division and assessments levied and
collected for the payment of the interest and redemption of certificates of
indebtedness or notes in the manner prescribed in the case of district bonds.

[Part 49:64:1919; A 1921, 118; 1923, 289; 1951, 438]

NRS 539.397Validation proceedings.All
the proceedings described in NRS 539.363 to 539.395, inclusive, relating to the local undertakings
of a division, including apportionment of benefits for undertakings authorized
at a special election, district election or primary or general state election,
may be confirmed in court as a part of the confirmation proceedings or upon
petition of the board of directors of the division.

NRS 539.400Full payment of local undertakings; termination of terms of
local directors; disposition of remaining money.When
the local undertakings provided for in NRS 539.363
to 539.395, inclusive, are accomplished and paid
for, a showing to that effect shall be made to the board of directors of the
district, and upon the approval thereof by such board the terms of office of
the local directors shall terminate, and any moneys of such division in the
district treasury shall be appropriately credited to the lands of the division
in connection with future assessments against such lands.

[Part 49:64:1919; A 1921, 118; 1923, 289; 1951, 438]

NRS 539.403Local improvements affecting two or more divisions:
Applicability of NRS 539.363 to 539.403,
inclusive.If such local
improvements affect two or more divisions of a district, less than all, then
all of the provisions of NRS 539.363 to 539.403, inclusive, shall be applicable to the
divisions affected; but if such improvements only affect two divisions, the
local board shall consist of the directors of the district from the divisions
affected and one other to be appointed by the directors of the district from
the divisions affected by such improvements. If such local improvements affect
three or more divisions, then the powers provided in NRS
539.363 to 539.403, inclusive, to be exercised
by a local board shall be exercised by the directors of the district.

[Part 49:64:1919; A 1921, 118; 1923, 289; 1951, 438]

Cooperation and Contracts With United States

NRS 539.405Petition for creation of local board.When
an irrigation district comprises lands which are served by works constructed by
the United States and the portion of such works situated in a division of the
district may be regarded as a separate unit of the larger system for operation
and maintenance purposes, or when local drains, laterals or other improvements
may be provided as additions to such works and constitute benefits limited to
such division, or when the replacement or extension of such works or some part
thereof would constitute benefits limited to such division, a petition signed
by the requisite number of electors of such division may be presented to the
board of directors of the district and a local board of directors of such
division created as provided in this chapter.

[Part 63:64:1919; 1919 RL p. 3291; NCL § 8081]

NRS 539.407Powers of local board.Subject
to the limitations contained in NRS 539.410, the
local board of directors shall have the power to contract with the United
States for the operation of the existing system described in NRS 539.405, or for the construction either by such
division or by the United States of local drains, laterals or other
improvements and for the operation and maintenance thereof, or for the
replacement or extension of existing works or structures and for the operation
and maintenance thereof or any separate part of the same.

[Part 63:64:1919; 1919 RL p. 3291; NCL § 8081]

NRS 539.410Election required for approval to enter contract and levy
assessment.The local board of
directors shall submit to the electors of the division at a special election,
district election or primary or general state election the contract for
approval and for authorization to levy an assessment or assessments, as
provided in this chapter, to secure the money required to carry out the
contract, including the amounts that will be due the United States thereunder
and that will be required for the construction of the proposed local drains,
laterals or other improvements, or for the replacement and extension of
existing works or structures.

NRS 539.413Applicability of laws relating to contracts between districts
and United States.The provisions
of this chapter relating to cooperation between a district and the United
States, including those relating to the distribution and apportionment of water
and the apportionment of benefits, shall apply in case of a contract between
the United States and a division of a district insofar as applicable.

[Part 63:64:1919; 1919 RL p. 3291; NCL § 8081]

NRS 539.415Validation proceedings.The
execution of a contract with the United States and all proceedings ancillary
thereto may be confirmed in court as a part of the confirmation proceedings
instituted by the district, or upon petition by the board of directors of the
division.

[Part 63:64:1919; 1919 RL p. 3291; NCL § 8081]

NRS 539.417Assumption of operation and maintenance of existing works only;
power of local board to levy assessments and impose tolls and charges.Where it is proposed that a division assume
only the operation and maintenance of the existing works, the contract for the
operation and maintenance of the existing works must be submitted to the
electors of the division for approval at a special election or the next
district election or primary or general state election. The local board of
directors, after the contract is made in pursuance of the authority granted in
the election, may levy assessments or impose tolls and charges annually or
otherwise to raise the amounts necessary to carry out the contract and to
operate and maintain the works, including amounts to be paid to the United
States pursuant to the contract, in the same manner and to the same effect as
may be done by the board of directors of the district under the provisions of this
chapter.

NRS 539.420Construction, replacement or extension of works: Power of local
board to levy assessments and impose tolls and charges.

1. Where local drains, laterals or
improvements are to be constructed, or existing works or structures replaced or
extended, and are thereafter to be operated and maintained by the division, the
local board shall have power to levy assessments and to impose tolls or charges
to raise the money required for such operation and maintenance, including
amounts due the United States in that relation.

2. The works described in the contract
with the United States shall be constructed, replaced or extended by such local
board of directors, and the money raised by such special assessment therefor or
for the operation and maintenance thereof shall be collected, kept and
disbursed, and the apportionment of benefits made, as provided in this chapter,
when a division of the district is authorized to provide for local undertakings
the benefits of which are limited to such division.

[Part 63:64:1919; 1919 RL p. 3291; NCL § 8081]

IMPROVEMENT DISTRICTS IN IRRIGATION DISTRICTS

General

NRS 539.423Purposes for which land may be formed into improvement district.The board of directors may provide for the
construction of canals, ditches, laterals, dams, drains or other structures or
improvements or the acquirement, replacement, consolidation or extension of the
same, or the leasing, acquisition or construction of electrical transmission
lines and accessory equipment, the benefits of which affect all or are limited
to a portion of the district only, in the manner provided in NRS 539.423 to 539.460,
inclusive.

[Part 49 1/2:64:1919; added 1923, 289; A 1929, 286;
NCL § 8066]

NRS 539.425Proposal of formation: Recommendation of district engineer;
petition of landowners; designation of area by directors.Upon the recommendation in writing by the
district engineer, or upon a petition signed by a majority of the electors of
the district owning land to be affected, or by electors representing at least
one-half of the total acreage to be affected by such a proposed local
improvement, defining the boundaries thereof, and requesting the board of
directors to undertake the carrying out of the same, the board of directors, if
it approves the same, may form and designate such area as an improvement
district for the purpose desired, and shall establish and define the boundaries
thereof.

[Part 49 1/2:64:1919; added 1923, 289; A 1929, 286;
NCL § 8066]

NRS 539.427Plans and estimates of cost of improvement; provision for
payment of costs.The board of
directors may prepare plans and estimates of the cost of a proposed improvement
and determine the manner in which the cost of the improvement must be provided.
For this purpose the board of directors may propose the issuance of bonds,
notes or certificates of indebtedness payable by an assessment or otherwise on
the property in the improvement district, bearing interest at a rate which does
not exceed by more than 5 percent the Index of Revenue Bonds which was most
recently published before the bids are received or a negotiated offer is
accepted, payable semiannually, and in such amounts and maturing at such time,
not exceeding 20 years, as the board of directors may prescribe.

NRS 539.430Submission of proposed improvement, estimated cost and methods
of financing to Department of Taxation.The
proposed local improvement, accompanied by the estimated cost thereof, a report
of the district engineer, and the proposed method of financing the improvement,
shall be submitted by the board of directors of the district to the Department
of Taxation for its approval.

NRS 539.433Election required after approval by Department of Taxation.After approval by the Department of Taxation,
the board of directors shall submit the question of whether the proposed
improvement shall be authorized by the electors of the affected improvement
district at a special election or the next district election or primary or
general state election.

NRS 539.435Form of question to be submitted to voters.The question submitted to the voters pursuant
to NRS 539.433 must be substantially in the
following form: Shall the improvement of Local Improvement District No.
........ (briefly describing it) be authorized and the indebtedness therefor,
estimated in the sum of ........ dollars, be incurred and paid in the manner
following (briefly stating the method of payment, whether by bonds, notes or
certificates of indebtedness and the time or times of payment, together with
the rate of interest)?

NRS 539.437Conduct of election.The
election shall in all other respects, including the qualification to vote, be
conducted in the manner prescribed in this chapter for the holding of elections
to approve proposals to subject lands in a district to the repayment for
obligations for capital purposes, insofar as such provisions are applicable.

NRS 539.440Apportionment of benefits.After
the plan has been approved by the Department of Taxation and the bond issue or
other indebtedness has been authorized at the election, the board of directors
of the district shall proceed to apportion the benefits in the manner
prescribed in this chapter.

1. If the proposed improvement is carried
by a vote of two-thirds of the qualified electors voting at such election, the
board of directors shall petition the district court of the county in which the
principal office of the district is located for confirmation of all of the
proceedings in respect to such local improvement in the manner prescribed in
this chapter for the confirmation of other proceedings by the district.

2. Upon the filing of such petition in
court the judge of the court shall fix a time and place for the hearing
thereof, giving notice of at least 2 weeks of such hearing by publication in a
newspaper of general circulation published in the county and also by posting
three copies of such notice at conspicuous points or places in the improvement
district.

3. Upon the hearing before the court upon
the petition, any person interested may be heard, and at such hearing the court
may correct any error in the matter of apportionment of benefits or in any of
the proceedings.

[Part 49 1/2:64:1919; added 1923, 289; A 1929, 286;
NCL § 8066]

NRS 539.445Authorization to carry out improvement.If
the qualified electors voting at the election vote in favor of the proposed
local improvement and the incurring of the indebtedness therefor, and the
proceedings are confirmed by the court as prescribed in NRS
539.443, the board of directors may carry out the proposed improvement.

NRS 539.447Sale of securities; deposit of proceeds in improvement district
fund.

1. Upon confirmation by the district court
of the proceedings in respect to such local improvement, including all
assessments of benefits, and upon the approval of the Department of Taxation
and the certification of the State Controller, as provided for in NRS 539.640 to 539.665,
inclusive, the board of directors shall negotiate the sale of the securities so
authorized in the manner prescribed in this chapter for the sale of district
bonds.

2. The proceeds of the sale shall be
deposited in a special fund to be designated Improvement District No. ........
Fund, and thereupon the board of directors shall proceed with the improvement.

NRS 539.450Securities: Execution by district officers; lien upon issuance
of bonds.

1. The securities, whether bonds, notes or
certificates of indebtedness, when issued, shall be executed by the officers of
the district in the manner prescribed in this chapter for the execution of
bonds.

2. Bonds shall be issued in the name of
the improvement district and when issued shall be a lien upon the land included
therein.

[Part 49 1/2:64:1919; added 1923, 289; A 1929, 286;
NCL § 8066]

NRS 539.453Levy and collection of annual assessments for payment of
interest and redemption of securities.

1. For the payment of interest and the
redemption of the bonds, notes or certificates of indebtedness, the board of
directors shall levy annual assessments for the amount of interest and the
redemption of the bonds, notes or certificates of indebtedness upon the lands
affected by the local improvement according to the apportionment of benefits,
and the assessments shall be delivered to the secretary of the district and
entered by the secretary in the assessment book or books thereof.

2. Such assessment or assessments and the
collection thereof shall thereafter take the same course as assessments of the
district as provided in this chapter.

[Part 49 1/2:64:1919; added 1923, 289; A 1929, 286;
NCL § 8066]

NRS 539.455Payment of assessments before issuance of securities.

1. Prior to the issuance of bonds, notes
or certificates of indebtedness authorized for the purpose of such local
improvement, any person, firm or corporation owning land upon which a benefit
has been assessed for such improvement may pay all or any portion of the
benefits so assessed against the land, and, upon such payment, the benefit so
assessed shall be discharged to the extent of such payment.

2. No such payment may be made after the
issuance of bonds, notes or certificates of indebtedness authorized to be
issued in payment of such improvement except as provided by the district.

[Part 49 1/2:64:1919; added 1923, 289; A 1929, 286;
NCL § 8066]

NRS 539.457Powers of directors and officers of district.The board of directors and all other officers
of any irrigation district shall have all the rights, powers and privileges
concerning improvement districts and lands thereof, and the proceedings
provided for in NRS 539.423 to 539.460, inclusive, as the board of directors and all
other officers may have concerning the irrigation district of which such
improvement districts are a part.

[49 1/2c:64:1919; added 1947, 303; 1943 NCL §
8066.03]

NRS 539.460Applicability of chapter to improvement districts.All the provisions of this chapter, where
applicable, shall apply to such improvement districts.

[Part 49 1/2:64:1919; added 1923, 289; A 1929, 286;
NCL § 8066]

Funding and Refunding Bonds

NRS 539.463Issuance; conditions.

1. The board of directors of any
irrigation district may cause funding or refunding bonds to be issued for the
purpose of funding or refunding any or all outstanding bonds, notes or
certificates of indebtedness of any improvement district in the irrigation
district.

2. Such funding or refunding bonds shall,
except as otherwise provided in NRS 539.463 to 539.475, inclusive, be issued in substantially the
manner and form prescribed by this chapter for the issuance of other bonds of
improvement districts in irrigation districts, and the provisions of this
chapter concerning the authorization, certification, issuance and sale of bonds
of improvement districts in irrigation districts are applicable to bonds issued
under NRS 539.463 to 539.475,
inclusive; but no plan, estimate or report of the district engineer is required
to be made or approved as provided in NRS 539.427
and 539.430, nor may any new apportionment of
benefits in respect of such bonds be required to be made or confirmed by the
district court, but instead the board of directors of any irrigation district
desiring to fund or refund any of the bonds, notes or certificates of
indebtedness of any improvement district in the irrigation district may submit
its proposed plan for the funding or refunding of such bonds, notes or certificates
of indebtedness to the Department of Taxation.

NRS 539.465Election required to authorize issuance; conduct of election;
maturity of and interest on bonds.

1. If the proposed plan for the funding or
refunding of bonds, notes or certificates of indebtedness is approved by the
Department of Taxation, the board of directors of the irrigation district shall
submit the question concerning authorization of the plan for the funding or
refunding of bonds to the electors of the district at a special election or the
next district election or primary or general state election.

2. The result of the election must be
determined and declared substantially in the same manner as provided by this
chapter for the issuance of other bonds of improvement districts in irrigation
districts, except that a majority vote only is required for the authorization
of those funding or refunding bonds.

3. The maturity of the funding or
refunding bonds must be fixed by the board of directors of the irrigation
district, subject to the approval of the Department of Taxation, but in no case
may the maturity of any of the bonds be more than 40 years from the date
thereof. The rate of interest on those bonds must not exceed by more than 5
percent the Index of Revenue Bonds which was most recently published before the
bids are received or a negotiated offer is accepted, payable semiannually.

1. If the issuance of such funding or
refunding bonds is carried by a vote of a majority of the qualified electors of
the improvement district voting at the election, the board of directors shall petition
the district court of the county in which the principal office of the district
is located for confirmation of all of the proceedings in respect to the
issuance of such funding or refunding bonds in the manner prescribed in this
chapter for the confirmation of other proceedings by the district.

2. The proceedings on the petition shall
be substantially the same as provided by NRS 539.443
for the confirmation of proceedings in respect to local improvements in an
irrigation district.

[Part 49 1/2a:64:1919; added 1935, 7; 1931 NCL §
8066.01]

NRS 539.470Apportionment of benefits; levy of annual assessments for
interest and redemption of bonds.

1. The apportionment of benefits made in
connection with the issuance of the bonds, notes or certificates of
indebtedness of such local improvement district so refunded shall be applicable
to assessments made for the payment of principal and interest of such funding
or refunding bonds.

2. For the payment of such principal and
interest, the board of directors of the irrigation district shall levy annual
assessments for the amount of interest and redemption of such funding or
refunding bonds upon the lands affected by the local improvement according to
such apportionment of benefits, and the provisions of NRS
539.423 to 539.460, inclusive, relating to
assessments are hereby made applicable to funding or refunding bonds issued
under the authority of NRS 539.463 to 539.475, inclusive.

[Part 49 1/2a:64:1919; added 1935, 7; 1931 NCL §
8066.01]

NRS 539.473Certification of bonds by State Controller.If the proposed plan for the funding or
refunding of such bonds, notes or certificates of indebtedness is approved by
the Department of Taxation, and the funding or refunding bonds are authorized
as provided in NRS 539.463 to 539.475, inclusive, the funding or refunding bonds
shall be certified by the State Controller in the manner and with the effect
prescribed in NRS 539.640 to 539.665,
inclusive.

1. Any funding or refunding bonds of a
local improvement district authorized to be issued may be sold from time to
time in the same manner as other bonds of the irrigation district, or may be
exchanged for outstanding bonds, notes or certificates of indebtedness of the
improvement district.

2. Any outstanding bonds, notes or
certificates of indebtedness so funded or refunded or exchanged must be
immediately cancelled by the treasurer.

NRS 539.477Debt or liability in excess of express provisions void;
incurrence forbidden.The board of
directors, or other officers of the district, shall have no power to incur any
debt or liability whatever, either by issuing bonds or otherwise, in excess of
the express provisions of this chapter. Any debt or liability incurred in
excess of such express provisions shall be absolutely void.

[Part 14:64:1919; A 1921, 118; 1927, 309; NCL § 8025]

NRS 539.480Limitation on indebtedness; issuance of warrants or negotiable
notes; levy and collection of assessments; limitation on and calculation of
assessments.

1. Except as otherwise provided in
subsection 2, for the purpose of organization or any of the purposes of this
chapter, the board of directors may incur an indebtedness not exceeding in the
aggregate the sum of $1,000,000, and may cause warrants or negotiable notes of
the district to issue therefor, bearing interest which must not exceed by more
than 5 percent the Index of Revenue Bonds which was most recently published
before the bids are received or a negotiated offer is accepted. The board may
levy an assessment on all lands in the district for the payment of those
expenses.

2. A board of directors of a district that
has entered into a contract with the United States pursuant to NRS 539.270 for purposes of complying with the federal
Reclamation Safety of Dams Act, 43 U.S.C. §§ 506 et seq., may incur an
indebtedness not exceeding in the aggregate the sum of $6,000,000, and may
cause warrants or negotiable notes of the district to issue therefor, bearing
interest which must not exceed by more than 5 percent the Index of Revenue
Bonds which was most recently published before the bids are received or a
negotiated offer is accepted. The board may levy an assessment on all lands in
the district for the payment of those expenses.

3. Subject to the provisions of
subsections 4, 5 and 6, thereafter the board may levy:

(a) An annual assessment, in the absence, except
as otherwise provided in paragraph (b), of assessments therefor pursuant to any
of the other provisions of this chapter, of not more than $1.50 per acre on all
lands in the district for the payment of the ordinary and current expenses of
the district, including the salaries of officers and other incidental expenses;
and

(b) An annual assessment of not more than $5 per
acre on all the lands in the district for deposit in a capital improvement fund
for the construction, reconstruction or maintenance of the irrigation system of
the district and any appurtenances necessary thereto.

4. Annual assessments levied pursuant to the
provisions of subsection 3 may not cumulatively exceed $5 per acre.

5. No portion of the amount collected from
the assessment levied pursuant to the provisions of paragraph (b) of subsection
3 may be used for the payment of the ordinary and current expenses of the
district, including the salaries of officers and other incidental expenses.

6. An assessment authorized pursuant to
this section may be calculated by rounding up to the nearest whole acre.

7. The assessments authorized pursuant to
the provisions of subsection 3 must be collected as provided in this chapter
for the collection of other assessments.

NRS 539.483Monthly financial reports of district treasurer; verification
and filing.

1. The district treasurer shall report to
the board of directors in writing on the first Monday in each month the amount
of money in the construction fund, the bond fund and the general fund, and the
amounts received and paid out in the preceding month.

2. The district treasurer shall make such
other reports and accounting as the board may require.

3. All reports shall be verified and filed
with the secretary of the board.

[Part 23:64:1919; A 1921, 118; 1927, 309; 1929, 286;
1955, 27]

NRS 539.485Monthly posting and publication of claims allowed by board of
directors.The board of directors
of each irrigation district shall, each month, post in three public places in
the district, one of which places shall be the county courthouse, and publish
one time in a newspaper of general circulation in the county a list of the
claims allowed by the board for the preceding month.

[51a:64:1919; added 1929, 286; A 1947, 90; 1943 NCL §
8069]

NRS 539.487Annual publication of district financial statement.On or before the first Tuesday of September of
each year the board of directors of each irrigation district shall publish in
at least one issue of some newspaper published in the county where the office
of the district is located a full, true and correct statement of the financial
condition of the district on the first day of that year, giving a statement of
all liabilities and assets of the district.

[51:64:1919; A 1951, 47; 1954, 20]

NRS 539.490County treasurer to deliver all money collected to treasurer of
district.The county treasurer or
treasurers who are required by this chapter to collect assessments levied by
the district are authorized and required to turn over to the treasurer of the
district all moneys, including delinquent penalties and interest collected
(except costs of publication), and to take receipt therefor.

[Part 23:64:1919; A 1921, 118; 1927, 309; 1929, 286;
1955, 27]

Funds

NRS 539.493Funds created.The
following funds are created and established, to which the moneys properly
belonging shall be apportioned:

1. Construction fund.

2. Bond fund.

3. General fund.

[Part 23:64:1919; A 1921, 118; 1927, 309; 1929, 286;
1955, 27]

NRS 539.495Construction fund: Source.Moneys
accruing from the sale of bonds, and from any assessments levied for the direct
payment of costs of construction, purchase of property, or other undertakings
for which bonds may be issued, shall be deposited and kept in the construction
fund.

[Part 23:64:1919; A 1921, 118; 1927, 309; 1929, 286;
1955, 27]

NRS 539.497Construction fund: Authorized disbursements.The cost and expense of purchasing and
acquiring property, and of constructing works to carry out the formulated plan
or plans, whether for irrigation or drainage or both, or for the improvement or
supplementing of existing works, except as otherwise provided in this chapter,
shall be paid out of the construction fund.

[Part 32:64:1919; A 1927, 309; NCL § 8045]

NRS 539.500Construction fund: Transfers to general fund.Whenever all construction work is completed,
any money remaining in the construction fund may be transferred to the general
fund.

[Part 23:64:1919; A 1921, 118; 1927, 309; 1929, 286;
1955, 27]

NRS 539.503Bond fund: Source.Moneys
accruing from assessments levied for the payment of interest and principal on
bonds shall be deposited and kept in the bond fund.

[Part 23:64:1919; A 1921, 118; 1927, 309; 1929, 286;
1955, 27]

NRS 539.505Bond fund: Investment and transfer of surplus money.

1. Surplus money in the bond fund may be
placed at interest or invested in approved interest-bearing securities.

2. If, after a full redemption of any bond
issue, a surplus then remains in the bond fund, such surplus may, by resolution
of the board of directors, be transferred to the general fund.

NRS 539.507General fund: Division into general fund and operation and
maintenance fund.The general fund
may be divided into the general fund and the operation and maintenance fund as
the board may direct.

[Part 23:64:1919; A 1921, 118; 1927, 309; 1929, 286;
1955, 27]

NRS 539.510General fund: Source.All
moneys except those required to be deposited in the construction fund and the
bond fund, including those realized from assessments or, as the case may be,
from tolls and charges levied or imposed for defraying the organization and
current expense of the district, and expenses and cost of the care, operation,
maintenance, management, repair, and necessary current improvement or
replacement of existing works and property, including salaries and wages of
officers and employees and other proper incidental expenditures, shall be
deposited and kept in the general fund or operation and maintenance fund, as
the board of directors may designate.

1. To defray the organization and current
expense of the district, and of the care, operation, maintenance, management,
repair, and necessary current improvement or replacement of existing works and
property, including salaries and wages of officers and employees and other
proper incidental expenditures, the board may:

(a) Fix rates of tolls or charges, and provide
for the collection thereof by the district treasurer as operation and
maintenance, or some like designation; or

(b) Levy assessments therefor, or for a portion
thereof, collecting the balance as tolls or charges.

Ê The board
may provide for the fixing, levying and collection of a minimum, flat or stated
operation and maintenance assessment, toll or charge per acre, whether water is
used or not, and a further operation and maintenance toll or charge for water
used in excess of the amount delivered for the minimum charge, or the board may
adopt other reasonable methods of fixing and collecting the operation and
maintenance charges.

2. Assessments, tolls and charges may be
collected in advance, and the assessment and such tolls and charges may be
based upon an estimate of the operation and maintenance revenue required for
the current or ensuing year, to be adjusted as near as may be from year to
year.

3. Water service may be refused and water
delivery may be shut off whenever there is a default in the payment of
operation and maintenance, but all other legal remedies must also be available
for the enforcement of the debt.

4. The assessments, tolls and charges must
be collected by the treasurer and deposited in the general fund or operation
and maintenance fund, and the treasurer shall account therefor and disburse the
same as provided in this chapter.

5. The assessments, tolls or charges fixed
by the board of directors for the payment of operation and maintenance
expenses, as provided in this chapter, are a lien upon all lands entitled to
receive water from the irrigation district system of works, as of the date
fixed by the board of directors for the payment of the assessments, tolls or
charges, whether water is delivered to such lands or not.

6. If the ownership of the land upon which
a lien is imposed pursuant to subsection 5 is severed from the ownership of the
right to use the water, the lien remains in effect on the land until:

(a) The place of use of the water is changed to
land upon which a lien is imposed pursuant to subsection 5, if:

(1) The change is in accordance with
applicable statutes and regulations of Nevada; or

(2) On a stream system where a decree of
court has been entered, the change is in accordance with the decree or any rules
adopted pursuant to the decree; or

(b) The owner of the right to use the water
enters into a written agreement with the irrigation district for the payment of
assessments, tolls or charges required pursuant to this section. Except as
otherwise provided in this paragraph, the payment must be secured by the right
to use the water in a manner that is satisfactory to the irrigation district.
If the owner of the right to use the water is the Federal Government or one of
its agencies, or the State of Nevada or one of its agencies or political
subdivisions, the agreement is not required to be secured in such a manner.

1. Subject to the limitations contained in
subsection 2, the board of directors may expend money from the general fund and
the operation and maintenance fund for the development, operation and
maintenance of recreational grounds.

2. In any irrigation district having a
reservoir or reservoirs for the storage of water with a capacity of:

(a) Less than 250,000 acre-feet, the expenditures
authorized by subsection 1 may not exceed the sum of $1,000 in any 1 year.

(b) 250,000 acre-feet or more, the expenditures
authorized by subsection 1 may not exceed the sum of $25,000 in any 1 year.

NRS 539.517General fund: Expenditure for exploiting district resources;
limitation; tax.The board of
directors is empowered to expend not to exceed the sum of $1,500 in any 1 year
for the purpose of exploiting the resources of the irrigation district. Such
moneys shall be raised by a tax levy and shall be payable out of the general
fund.

[78:64:1919; added 1929, 286; NCL § 8096]

NRS 539.520Duties of district treasurer; liability on official bond.

1. The treasurer of the district is
authorized and required to receive and receipt for and to collect the moneys
accruing to the construction fund, the bond fund and the general fund, and to
place the same to the credit of the district in the appropriate fund.

2. The treasurer shall be responsible upon
his or her official bond for the safekeeping and disbursement of the moneys in
such funds.

[Part 23:64:1919; A 1921, 118; 1927, 309; 1929, 286;
1955, 27]

NRS 539.523Directors may make temporary transfers.The
board of directors may make temporary transfers from the general fund to the
construction fund and from the construction fund to the general fund, but no
such transfers may be made from the bond fund.

[Part 23:64:1919; A 1921, 118; 1927, 309; 1929, 286;
1955, 27]

NRS 539.525Regulation of disbursements from funds; approval of vouchers.

1. The board of directors may establish
rules and regulations and prescribe the conditions under which the treasurer
may make disbursements from the general and operation and maintenance funds,
but no payments from any of the other funds of the district shall be made by
the treasurer except upon vouchers signed by the president and secretary, after
being first authorized by order of the board.

2. Salaries or expenses incurred by any
member or officer of the board of directors must be approved at a meeting of the
board before the voucher therefor is signed by the president and secretary.

[Part 23:64:1919; A 1921, 118; 1927, 309; 1929, 286;
1955, 27]

NRS 539.527Interest coupons: Payment by district treasurer.Interest coupons shall be paid by the district
treasurer as provided in this chapter.

[Part 23:64:1919; A 1921, 118; 1927, 309; 1929, 286;
1955, 27]

Deposits

NRS 539.530Deposit of money in bank or credit union in state.All money belonging to or in the custody of
any irrigation district within this state, or of the treasurer or other officer
thereof, shall, so far as possible, be deposited in state or national banks or
credit unions in this state as the treasurer or other officer of such
irrigation district having legal custody of such money shall select for the
safekeeping thereof, and shall be subject to withdrawal at any time on demand
of the treasurer or other authorized officer.

NRS 539.533Deposit of district money in accordance with general laws.The treasurer, or other officer, of an
irrigation district having legal custody of its moneys shall also have power to
deposit such moneys in the same manner and under the same conditions as may be
applicable to the deposit of state, county and municipal funds by the legal
custodians thereof.

1. For the security of such deposits there
shall be delivered to the treasurer of the irrigation district a bond or bonds
of a corporate surety qualified to act as sole surety on bonds or undertakings
required by the laws of this state, and approved by the Commissioner of
Insurance as a company possessing the qualifications required for the purpose
of transacting a surety business within this state. The penal amount of such
bond or bonds shall at no time be less than the amount of money deposited by
the irrigation district with such depositary. The bond or bonds shall secure
and guarantee the full and complete repayment to the irrigation district or the
payment to its order of all money so deposited, together with interest thereon.
The premium for such corporate surety bond or bonds, in the discretion of the
board of directors of the irrigation district, may be paid out of the money so
deposited or may be required to be paid by the depositary.

2. The depositary may, in lieu of the
corporate surety bond or bonds, deposit with the treasurer of the irrigation
district treasury notes or United States bonds, or other securities which are
legal investments for savings banks and credit unions in this state, the market
value of which shall at all times equal the amount of money so deposited, as
collateral security, and such securities shall be placed by the treasurer in
escrow in some bank or credit union other than the depositary of the money of
the district. In the event of the failure of the depositary to repay such money
to the district on demand, or to pay the same to its order, the securities so
placed in escrow shall be redelivered to the treasurer and may be sold by the
treasurer with or without notice, and the proceeds thereof used to reimburse
the district.

NRS 539.540Resolution of directors: General plan of proposed operations.As soon as practicable after the organization
of a district the board of directors shall, by a resolution entered on its
records, formulate a general plan of its proposed operations in which it shall
state what constructed works or other property it proposes to purchase and the
cost of purchasing the same, and also what construction work it proposes to do,
and how it proposes to raise the funds for carrying out such general plan.

[Part 15:64:1919; A 1921, 118; NCL § 8026]

NRS 539.543Surveys and examinations; direction and certification by
irrigation engineer.

1. The board of directors shall cause such
surveys and examinations to be made as will furnish a proper basis for an
estimate of the cost of carrying out the construction work.

2. All such surveys, examinations, maps,
plans, and estimates shall be made under the direction of a competent
irrigation engineer and certified by that engineer.

[Part 15:64:1919; A 1921, 118; NCL § 8026]

NRS 539.545Estimate of amount of money necessary to be raised; election
required.Upon receiving the
report of the engineer, the board shall proceed to determine the amount of
money necessary to be raised for the purchase of property and construction of
works, and shall submit to the electors of the district possessing the
qualifications prescribed by this chapter at a special election or the next
district election or primary or general state election the question of whether
the expense shall be authorized and whether by bond issue or otherwise.

NRS 539.553Conduct of election; number of votes elector may cast; certain
persons and entities entitled to vote; filing of designations or written
consents; informalities not to invalidate election.In
any election to approve any bond issue, contract or other proposal which would
subject the lands in any district to the repayment of an obligation to be
incurred for capital purposes, the following procedure must be followed:

1. The secretary of the district shall
prepare from the book of assessments a list of all electors qualified by an
ownership of land which meets the conditions prescribed in paragraphs (a), (b)
and (c) of subsection 1 of NRS 539.123, showing the
number of acres listed to each such elector, or the percentage interest in
acreage held by each elector who holds an undivided interest in land.

2. At the time and place appointed for the
election, the list must be open for inspection. If both spouses vote with
respect to acreage in which their interest is community property, the number of
votes attributed to that acreage must be divided equally between them. If one
holder of an undivided interest votes with the consent of his or her fellow
holders, the entire acreage must be attributed to him or her.

3. An elector is entitled to vote on the
proposal according to the land which the elector owns outright, as follows:

(a) Ten acres or less, one vote;

(b) For each additional 10 acres or a part
thereof, up to and including 200 acres, one additional vote; and

(c) For each additional 100 acres or a part
thereof above 200 acres, one additional vote.

Ê The district
shall issue a separate ballot for each vote which an elector is entitled to
cast.

4. If two or more persons hold undivided
or community interests in land, each is entitled to cast a percentage of the
respective votes otherwise allowed pursuant to subsection 3 that is equal to
his or her percentage interest in that land, except that, if pursuant to this
subsection those persons are entitled to a fractional interest in a vote, that
vote may only be cast by one of those persons upon presenting the written
consent of his or her fellow holders.

5. A guardian, executor, administrator or
trustee shall be deemed the holder of title or evidence of title to the land in
the State for which he or she is the guardian, executor, administrator or
trustee, and has the right to vote pursuant to this section. If there is more
than one guardian, executor, administrator or trustee, they must designate one
of their number to vote pursuant to this section.

6. Corporations, partnerships or
limited-liability companies holding land in the district shall be deemed
persons entitled to exercise all the rights of natural persons, and the
president of such a corporation, the general partner of such a partnership, the
manager of such a limited-liability company, or any other person authorized in
writing by the president of the corporation, the general partner of the
partnership or the members of the limited-liability company, may cast the vote
of the corporation, partnership or limited-liability company pursuant to this
section. If a partnership has more than one general partner, the general
partners must designate one of their number to cast the vote of the partnership
pursuant to this section. If a limited-liability company:

(a) Has more than one manager, the managers must
designate one of their number to cast the vote of the limited-liability company
pursuant to this section.

(b) Does not have a manager, the members must
designate one of their number to cast the vote of the limited-liability company
pursuant to this section.

7. Designations or written consents for
the purposes of voting as authorized pursuant to this section must be filed
with the district not later than 14 days before the election.

8. At the end of the time appointed for
voting, the secretary of the district shall determine the total number of votes
cast approving the proposal and shall declare it passed if the proposal is
approved by a majority of the votes cast.

9. If the proposal is not so approved, it
is rejected and the result must be entered of record.

10. No informalities in conducting the
election invalidate the result if the election is fairly conducted and the
result can be clearly ascertained.

11. For the purposes of this section,
eligibility to vote and the number of acres listed to each elector must be
determined from the current book of assessments. The board may by regulation
permit holders of real property in the district to establish eligibility to
vote by providing proof of acquisition of an interest in real property in the
district since the last assessment roll was closed.

NRS 539.557Additional bond issues: Election required.Thereafter, whenever the board in its judgment
deems it for the best interest of the district that the question of the
issuance of bonds in such amount, or in any other amount, be submitted to the
electors, it shall so declare of record in its minutes, and thereupon submit
the question to the electors at a special election or the next district
election or primary or general state election in the same manner and with like
effect as at the previous election.

1. Whenever the electors shall have
authorized an issue of bonds, the board of directors shall examine the land in
the district, and shall determine the benefits which will accrue to each tract
or subdivision from the construction or purchase of the works proposed for the
district; and the costs of such work shall be apportioned or distributed over
such tracts or subdivisions of land in proportion to such benefits.

2. The board shall make, or cause to be
made, a list of such apportionment or distribution, which list shall contain a
complete description of each subdivision or tract of land of such district with
the amount and rate per acre of such apportionment or distribution, and the name
of the owner thereof, or it may prepare a map on a convenient scale showing
each of the subdivisions or tracts with the rate per acre of such apportionment
entered thereon.

3. Where all or any portion of the lands
are apportioned a benefit by the board at the same rate, a general statement to
that effect shall be sufficient.

4. Whenever thereafter an assessment is
made, either in lieu of bonds, or an annual assessment for raising the interest
on bonds, or any portion of the principal, or the expenses of maintaining the
property of the district, or any special assessment voted by the electors, it
shall be spread upon the lands in the same proportion as the assessments of
benefits, and the whole amount of the assessments of benefits shall equal the amount
of bonds or other obligations authorized at the election.

5. The benefits arising from the
undertakings for which special assessments are made may be distributed equally
over the lands, or especially apportioned, and assessments or tolls and charges
may be made or imposed, when coming within the designation of operation and
maintenance charges, by way of a minimum stated charge per acre whether water
is used or not, and a charge for water used in excess of the amount delivered
for the minimum charge, or such other reasonable method of fixing or collecting
the operation and maintenance charge as the board of directors may adopt.

6. Where drainage works are to be
constructed, benefits may be apportioned to higher lands which are or may be
irrigated from a common source or combined sources and by the same system or
combined systems of works not then actually requiring drainage by reason of the
fact that their irrigation contributes, or will, if irrigated, contribute water
which must be carried off or away from the lower lands.

1. Before final action upon the
apportionment of benefits provided for in NRS 539.560,
the board shall publish notice for 2 weeks in a newspaper published in the
county in which the organization was effected that it will meet at its office
on the day stated in the notice for the purpose of reviewing such apportionment
of benefits.

2. At such meeting the board shall proceed
to hear all persons interested who may appear, and it shall continue in session
from day to day until the apportionment is completed.

3. The board shall hear and receive all
evidence offered, including any maps or surveys which any owners of lands may
produce, and may classify the lands in such a way that the assessment when
completed shall be just and equitable.

4. Any person interested who shall fail to
appear before the board shall not be permitted thereafter to contest the
apportionment, or any assessment thereunder, except upon a special application
to the court in the proceeding for confirmation of the apportionment, showing
reasonable excuse for failing to appear before the board.

5. If any elector makes objection to the
apportionment before the board, and the objection is overruled and such elector
does not consent to the apportionment as finally determined, such objection
shall, without further proceedings, be heard at the confirmation proceedings.

1. The board of directors of the district
shall file with the clerk of the district court in and for the county in which
its office is situated a petition praying in effect that the proceedings be
examined, approved and confirmed by the court.

2. The petition shall state generally
that:

(a) The irrigation district was duly organized.

(b) The first board of directors was elected.

(c) Due and legal proceedings were taken to issue
bonds, stating the amount thereof.

(d) An apportionment of benefits was made by the
board and a list thereof duly filed according to law.

3. A list of the apportionment shall be
attached to the petition, but the petition need not state other facts.

4. Such petition for confirmation of the
proceedings thus far had may be filed after the organization of the district is
complete, or after the authorization of any issue of bonds, or after any other
undertaking of the district.

5. The court or judge shall fix the time
and place for the hearing of any such petition, and the clerk shall publish a
notice thereof for 2 consecutive weeks in a newspaper published in the county.

6. Any person interested may on or before
the day fixed for the hearing answer the petition.

7. None of the pleadings need be sworn to,
and every material statement of the petition not controverted by answer shall
be taken as true. A failure to answer the petition shall be deemed to be an
admission of the material allegations thereof.

8. The rules of pleading and practice
provided by law and the Nevada Rules of Civil Procedure shall be followed so
far as applicable. A motion for a new trial, and all proceedings in the nature
of appeals or rehearings, may be had as in any ordinary civil action.

1. Upon the hearing of the petition, the
court shall examine all the proceedings sought to be confirmed and may ratify,
approve and confirm the same or any part thereof; and when an apportionment of
benefits is examined all objections thereto, including those made at the
hearing before the board, shall be set up in the answer and heard by the court.

2. The court shall disregard every error,
irregularity or omission which does not affect the substantial rights of any
party, and if the court shall find that the apportionment is, as to any
substantial matter, erroneous or unjust, the same shall not be returned to the
board, but the court shall proceed to correct the same so as to conform to this
chapter and the rights of all parties in the premises, and the final judgment
may approve and confirm such proceedings in whole or in part.

3. A certified copy of the final judgment
shall be filed in the office of the State Engineer and in the office of the
county recorder of the county or counties in which any of the lands within the
district are situated.

4. In case of the approval of the
organization of the district and the disapproval of the proceedings for issuing
bonds, the district may again undertake proceedings for the issuance of bonds
and have the same confirmed as herein provided.

5. The cost of the proceedings in court
may be allowed and apportioned among the parties thereto in the discretion of
the court.

[20:64:1919; A 1921, 118; NCL § 8031]

NRS 539.570Sale of bonds authorized; public or private sale; terms.

1. The board may sell bonds from time to
time in such quantities as may be necessary and most advantageous to raise
money for the construction of works, the acquisition of property and rights and
otherwise to carry out the objects and purposes of this chapter.

2. The bonds may be sold at public or at
private sale, upon any terms not inconsistent with the other provisions of this
chapter.

NRS 539.573Bonds not to be sold for less than 90 percent of par value and
accrued interest.The board shall
in no event sell any of the bonds for less than 90 percent of the par value
thereof and accrued interest.

[Part 21:64:1919; A 1921, 118; NCL § 8032]

NRS 539.575Use of unsold bonds in payment of construction; approval of
Department of Taxation.

1. The board may use any bonds of the
district which have been offered for sale at public sale and remain unsold in
payment for construction of canals, storage reservoirs or other works of the
district, without the necessity of calling for bids for such construction, and
may enter into contracts providing for the payment of such construction in
bonds, which contracts may provide for the payment of a fixed contract price or
the cost of such construction plus a fixed percentage thereof, or the cost of
such construction plus a fixed sum.

2. Ninety percent of their par value and
interest accrued thereon is the minimum price at which the bonds may be used in
payment for such construction.

3. Such use of bonds and any such contract
must be approved by the Department of Taxation.

1. If for any reason the bonds of a
district cannot be sold, or if at any time it shall be deemed in the best
interests of the district to withdraw from sale all or any portion of an
authorized bond issue, the board of directors may cancel the bonds and levy
assessments in the amount of the bonds cancelled. The revenue derived from the
assessments must be employed for the same purpose as was contemplated by the
bond authorization, but no levy may be made to pay for work or material,
payment for which was contemplated by bonds which have been authorized, until
bonds to the amount of the assessments have been cancelled.

2. Assessments made in lieu of bonds
cancelled must be collected in the same manner and have the same effect as
other assessments levied pursuant to the provisions of this chapter. The
assessments must not during any 1 year exceed 10 percent of the total bond
issue authorized by the district, unless a greater assessment is authorized by
a majority vote of the qualified electors of the district voting at a special
election or district election or primary or general state election.

NRS 539.580Payment of bonds and interest from revenue derived from annual
assessments.Bonds and the
interest thereon shall be paid by revenue derived from the annual assessments
upon the lands of the district; and all of the land of the district shall be
and remain liable to be assessed for the payment of the principal and interest
of any outstanding bonds of the district until the same shall have been fully
paid.

[22:64:1919; A 1929, 286; NCL § 8033]

NRS 539.583Payment of interest from bond fund.The
treasurer, upon the presentation of interest coupons when due, shall pay the
same from the bond fund.

[Part 24:64:1919; A 1933, 271; 1931 NCL § 8035]

NRS 539.585Payment before issuance of bonds, notes or certificates of
indebtedness.

1. Prior to the issuance of bonds, notes
or certificates of indebtedness authorized for the purpose of improvements, any
person, firm or corporation owning land upon which a benefit has been assessed
for such improvements may pay all or any portion of the benefit so assessed
against the land, and, upon such payment, the benefit so assessed shall be
discharged to the extent of such payment.

2. No such payment may be made after the
issuance of bonds, notes or certificates of indebtedness authorized to be
issued in payment of such improvements except as provided by the district.

1. In case the money raised by the sale of
all the bonds is insufficient for the completion of the plans and works
adopted, and additional bonds are not voted, the board of directors shall
provide for the completion of the plans by levy of assessment therefor.

2. When the money obtained by any previous
issue of bonds has become exhausted by expenditures authorized in this chapter,
and it becomes necessary to raise additional money to carry out the adopted
plan, additional bonds may be issued if authorized at a special election or
district election or primary or general state election. The election must be
conducted in accordance with the provisions of this chapter with respect to an
original issue of bonds.

NRS 539.590Prior liens.The
lien for taxes for the payment of interest and principal of any bond series
shall be a prior lien to that of any subsequent bond series.

[Part 16:64:1919; A 1921, 118; 1929, 286; 1933, 271;
1955, 27]

NRS 539.593Power of directors to levy assessments to spread redemption of
bonds.At any time after a bond
issue, the board of directors shall have the power to levy assessments for the
purpose of raising funds to provide for the redemption of the bonds, as
specified in this chapter, thus spreading the redemption assessments over a
longer period of years than provided in NRS 539.670,
539.675 and 539.677.

1. Whenever an election has been held in
any irrigation district and bonds have been authorized to be issued having the
maturities prescribed in NRS 539.615 to 539.635, inclusive, which bonds have likewise been
authorized to be issued by the board of directors of such district but have not
been delivered, the board of directors, subject to the approval of the
Department of Taxation, may agree with any prospective purchaser of such bonds
prior to delivery and payment of the purchase price, that the irrigation
district will, during the life of the bonds, levy a minimum tax in each year
prior to the fixed maturity date of such bonds, or any of them, which agreement
shall be in writing signed by the president and secretary of the district, and
bearing upon its face the approval of the Department of Taxation, and shall be
filed in the office of the county recorder of each county in which the district
is located.

2. When so filed for record, the agreement
constitutes a binding and irrevocable agreement on the part of the district
that such taxes will be levied, and the agreement inures to the benefit of the
holders or owners of each of the bonds at any time outstanding, so as to give
to them, or either of them, a right of action against the district to compel
the levy of such taxes as provided in the agreement.

3. A copy of the agreement, certified by
each of the county recorders in whose office the agreement is recorded, shall
be filed with the county auditor of each county in which the agreement is
recorded.

NRS 539.597County auditor to spread minimum sinking fund tax on assessment
books.After a copy of the
agreement is filed as provided in NRS 539.595, the
county auditor of each county in which the agreement is filed, without further
notice or demand, shall spread upon the assessment books containing the
property subject to be assessed for irrigation purposes the amount of such
minimum sinking fund tax, and the county treasurer of each such county shall
collect the same, together with all other taxes levied or collected in the
irrigation district.

[Part 72:64:1919; added 1929, 286; NCL § 8090]

NRS 539.600Agreement binding on subsequent boards of directors; directors
may increase tax.After any such
agreement has been recorded as provided in NRS 539.595,
no subsequent board of directors shall have any authority to repeal, change or
modify the same in any respect whatsoever without the consent in writing of the
owners and holders of all of the bonds of the district then outstanding; but
the board of directors may, in its discretion, increase the amount of such
sinking fund tax, or levy additional sinking fund taxes, or other taxes, from
time to time without in any wise impairing the obligation to levy and collect
such minimum sinking fund tax.

1. Any county auditor who shall fail to enter
the minimum sinking fund tax in the manner provided in NRS
539.597 may be forthwith removed from office.

2. In the event of the failure of any
official to levy or collect such tax after the recordation of the agreement, as
provided in NRS 539.595, the holder or owner of any
bond of such district then outstanding may so notify the district attorney of
any county in which the district is located, and the district attorney shall
thereupon institute appropriate action by mandamus or other judicial proceeding
to compel the levy and collection of taxes as provided in the agreement.

3. If any district attorney shall fail to
comply with the request of any such holder or owner of the bonds, the attorney
general shall forthwith commence such proceedings for and on behalf of the
owners and holders of all of the bonds of such district then outstanding and
entitled to the benefits of such sinking fund tax.

[Part 72:64:1919; added 1929, 286; NCL § 8090]

NRS 539.605Faith and credit of State pledged.The
full faith and credit of the State of Nevada are hereby pledged that NRS 539.595 to 539.605,
inclusive, shall not be repealed while any such agreements shall remain of
record in the office of the county recorder of any county in this state, nor
shall the provisions of this chapter be amended or changed or modified so as to
impair the efficacy of such tax until all of the bonds of any such district and
the coupons attached thereto which are or may be entitled to the benefits of NRS 539.595 to 539.605,
inclusive, shall have been fully paid and discharged.

[Part 72:64:1919; added 1929, 286; NCL § 8090]

NRS 539.607Issuance of notes authorized to meet obligations of district
after levy of tax; levy and collection of special tax.

1. If any installment of taxes has been
levied for the payment of any outstanding bonds or interest of any irrigation
district, the board of directors may issue notes bearing a rate of interest
which must not exceed by more than 5 percent the Index of Revenue Bonds which
was most recently published before the bids are received or a negotiated offer
is accepted. The notes must be payable out of the installment of taxes so
levied and must not be in excess of 75 percent of the levy. The proceeds
derived from those notes may be used only for the purpose of meeting the
obligation of the district for which the tax was levied.

2. If the proceeds of the taxes are
insufficient, through delinquency, uncollectibility of taxes or other cause, to
pay, when due, all the lawful debts for which the taxes were levied, the board
of directors shall levy and collect in the next succeeding year a special tax
in addition to all other taxes in an amount sufficient to pay all of such
lawfully contracted indebtedness, and may borrow as provided in this section in
anticipation of that tax to pay off any such lawfully contracted indebtedness.

1. Whenever after 10 years from the
issuance of bonds the bond fund shall amount to the sum of $10,000, the board
of directors may direct the treasurer to pay such an amount of the bonds not
due as the money in the bond fund will redeem at the lowest value at which they
may be offered for liquidation, after advertising for at least 3 weeks in some
newspaper published in the county in which the office of the district is
located, and in such other newspaper as the board may deem advisable, for
sealed proposals for the redemption of such bonds.

2. Such proposals shall be opened by the
board in open meeting at a time to be named in the notice, and the lowest bid
or bids shall be accepted; but no bonds shall be redeemed at a rate above par
except in cases where the bonds are issued subject to call at a rate above par
as provided in NRS 539.615 to 539.635, inclusive.

3. In case two or more bids are equal, the
lowest-numbered bond shall have the preference, and if any of the bonds are not
so redeemed, that amount of the redemption money shall be invested by the
treasurer under the direction of the board in United States bonds or the bonds
or warrants of the State or municipal or school bonds, and such bonds and the
proceeds therefrom shall belong to the bond fund.

1. Any bonds of the district issued in
accordance with the provisions of this chapter or any other statute and payable
from any pledged revenues, assessments or taxes ad valorem, or any combination
thereof, may be refunded by the board, without the necessity of the refunding
bonds being authorized at an election, by the adoption of a resolution by the
board and by any trust indenture or other proceedings appertaining thereto,
authorizing the issuance of refunding bonds to pay, refund and discharge all or
any part of any outstanding bonds of the district, including:

(a) The acceleration, deceleration or other
modification of the payment of those obligations and any interest thereon in
arrears or to become due for any period not exceeding 3 years from the date of
issuance of the refunding bonds;

(b) To reduce the interest on the outstanding
bonds;

(c) To modify or eliminate restrictive
contractual limitations on the issuance of additional bonds, concerning the
outstanding bonds or concerning any facilities appertaining thereto; or

(d) Any combination of the purposes stated in
paragraphs (a), (b) and (c).

2. Any refunding bonds issued may be
delivered in exchange for any outstanding bonds being refunded or may be sold
at a public or private sale.

3. The lien for taxes for the payment of
the interest and principal of any refunding bond issue is of equal rank with
the lien of the original bond issue retired thereby.

NRS 539.6133Voluntary surrender or limitation on maturity; limitation on
principal, interest and maturity.

1. No bonds may be refunded under this
chapter unless the holders of those bonds voluntarily surrender them for
exchange or payment, or unless they either mature or are callable for prior
redemption under their terms within 25 years from the date of issuance of the
refunding bonds. Provision must be made for paying the bonds within that
period.

2. The maturity of any bond refunded may
not be extended beyond 25 years, or beyond 1 year next following the date of
the last outstanding maturity, whichever is later, nor may any interest on any
bond refunded be increased to any rate which exceeds by more than 5 percent the
Index of Revenue Bonds which was most recently published before bids are
received or a negotiated offer for the bonds is accepted.

3. The principal amount of the refunding
bonds may exceed, be less than or equal to the principal amount of the refunded
bonds, if sufficient provision is made for their payment.

1. Except as otherwise provided in this
chapter, the proceeds of refunding bonds must be immediately applied to the
retirement of the bonds to be refunded or be placed in escrow or trust in any
trust banks or credit unions within or without or both within and without this
state to be applied to the payment of the refunded bonds or the refunding
bonds, or both, upon their presentation therefor to the extent, in the priority
and otherwise in the manner which the board may determine.

2. The incidental costs of refunding bonds
may be paid by the purchaser of the refunding bonds or be defrayed from any
money of the district, subject to appropriations therefor as otherwise provided
by statute, or other available revenues of the district under the control of
the board, from the proceeds of the refunding bonds, from the interest or other
yield derived from the investment of any proceeds of the refunding bonds or
other money in escrow or trust, or from any other sources legally available
therefor, or any combination thereof, as the board may determine.

NRS 539.6137Escrow or trust for payment of refunded or refunding bonds.

1. Any escrow or trust provided pursuant
to NRS 539.6135 is not necessarily limited to the
proceeds of refunding bonds but may include other money available for its
purpose. Any proceeds in escrow or trust, pending their use, may only be
invested or reinvested in securities which are direct obligations of or which
the principal of and interest on are unconditionally guaranteed by the Federal
Government.

2. Any trust bank or credit union shall
continuously secure any money placed in escrow or trust and not so invested or
reinvested in federal securities by a pledge in any trust banks or credit
unions, within or without or both within and without this state, of similar
federal securities in an amount which is at all times at least equal to the
total uninvested amount of the money accounted for in the escrow or trust.

3. The proceeds and investments in escrow
or trust, together with any interest or other gain to be derived from any such
investment, must be in an amount at all times at least sufficient to pay the
principal of, interest on and any prior redemption premiums due, any charges of
the escrow agent or trustee and any other incidental expenses payable
therefrom, except to the extent provision may have been previously otherwise
made therefor, as those obligations become due at their respective maturities
or due at the designated prior redemption dates in connection with which the
board has exercised or is obligated to exercise a prior redemption option on
behalf of the district.

4. The computations made in determining
that sufficiency must be verified by a certified public accountant licensed to
practice in this state or in any other state.

NRS 539.614Source of payment and security; applicability of provisions of
chapter; conclusiveness of board’s determination of compliance with chapter.

1. Refunding bonds may be payable from and
secured by any source of revenue or taxes from which the refunded bonds were or
could have been made payable.

2. Except as otherwise expressly provided
or necessarily implied in this chapter, the relevant provisions in this chapter
appertaining generally to the issuance of bonds to defray the cost of any
project are equally applicable in the authorization and issuance of refunding
bonds, including their terms and security, the covenants and other provisions
of the resolution authorizing the issuance of the bonds, or other instrument or
proceedings appertaining thereto, and other aspects of the bonds.

3. The determination of the board that the
limitations imposed in this chapter upon the issuance of refunding bonds have
been met is conclusive, in the absence of fraud or an arbitrary and gross abuse
of its discretion.

1. The bonds authorized by vote shall be
designated as a series, and the series shall be numbered consecutively as
authorized.

2. The portion of the bonds of the series
authorized to be sold at any time shall be designated as an issue and each
issue shall be numbered in its order.

[Part 16:64:1919; A 1921, 118; 1929, 286; 1933, 271;
1955, 27]

NRS 539.617Consecutive numbering; negotiability and payment; multiples of
$100.The bonds of such issue
shall be numbered consecutively, commencing with those earliest falling due,
and they shall be designated as 11-year bonds, 12-year bonds, and so forth.
They shall be negotiable in form, and payable in money of the United States as
follows: At the expiration of 11 years from each issue, 5 percent of the whole
number of bonds of such issue; at the expiration of 12 years, 6 percent; at the
expiration of 13 years, 7 percent; at the expiration of 14 years, 8 percent; at
the expiration of 15 years, 9 percent; at the expiration of 16 years, 10
percent; at the expiration of 17 years, 11 percent; at the expiration of 18
years, 13 percent; at the expiration of 19 years, 15 percent; at the expiration
of 20 years, 16 percent; but such percentage may be changed sufficiently so
that every bond shall be in the amount of $100, or a multiple thereof, and the
above provisions shall not be construed to require any single bond to fall due
in partial payments.

[Part 16:64:1919; A 1921, 118; 1929, 286; 1933, 271;
1955, 27]

NRS 539.620Directors may fix and determine time for issuance and maturity;
limit on maturity.The board of
directors may, with the approval of the Department of Taxation, fix and
determine otherwise than as provided in NRS 539.617
the time for the issuance and maturity of the bonds, the manner, method, terms
and conditions of their payment, and provide for the calling and redeeming of
the bonds before maturity at a premium not in excess of 9 percent above par;
but in no case may the maturity of any bond be more than 50 years after the
date thereof.

1. Bonds shall express on their faces that
they were issued by the authority of this chapter and shall also state the
number of the issue of which the bonds are a part.

2. Bonds shall be signed by the president
and the secretary, and the seal of the district shall be affixed thereto.

3. Interest coupons shall be attached to
the bonds, which coupons shall be signed by the secretary.

[Part 16:64:1919; A 1921, 118; 1929, 286; 1933, 271;
1955, 27]

NRS 539.624Issuance separately or in combination.Bonds
for refunding and bonds for any other purpose authorized under this chapter or
by any other statute may be issued separately or issued in combination in one
series or more by the district in accordance with the provisions of this
chapter.

NRS 539.630Interest.The bonds
must bear interest at a rate which does not exceed by more than 5 percent the
Index of Revenue Bonds which was most recently published before the bids are
received or a negotiated offer is accepted, payable annually, semiannually or
at such other times as designated by the board.

NRS 539.633Places of payment.The
principal and interest shall be payable at the place designated in the bonds,
which may be at any place within or outside of this state, and any district may
deposit money in one or more banks or credit unions within or outside of this
state for the payment of the principal or interest on such bonds at the place
or places at which the same are payable, or for any other lawful purpose.

NRS 539.635Record to be kept by secretary and treasurer.The secretary and the treasurer shall each
keep a record of the bonds sold, their number, the date of sale, the price
received and the name of the purchaser.

[Part 16:64:1919; A 1921, 118; 1929, 286; 1933, 271;
1955, 27]

NRS 539.6353Rights and remedies cumulative.No
right or remedy conferred upon any holder of any bonds or any trustee for that
holder by this chapter or by any proceedings appertaining to the issuance of
those bonds is exclusive of any other right or remedy, but each right or remedy
is cumulative and in addition to every other right or remedy and may be
exercised without exhausting and without regard to any other remedy conferred
under this chapter or by any other statute.

NRS 539.6355Failure of holder of bonds to proceed does not relieve district
of liability.The failure of any
holder of any bonds to proceed as provided in this chapter or in proceedings
appertaining thereto does not relieve the district, the board or any of the
officers, agents and employees of the district of any liability for failure to
perform or carry out any duty, obligation or other commitment.

Levy and Collection of Ad Valorem Taxes as Additional
Security for Payment of Certain Bonds

NRS 539.636Power of board of directors.In
addition to the other means of providing revenue for districts as provided in
this chapter, the board of directors under certain circumstances as set forth
in NRS 539.636 to 539.6366,
inclusive, or as may be otherwise provided by law, may levy and collect general
(ad valorem) taxes on all taxable property within the district for the purpose
of additionally securing the payment of any bonds issued under the provisions
of this chapter and for the purpose of paying attorney’s fees and other costs
directly related to protecting the supply and distribution of water.

NRS 539.6361Reserve fund from bond proceeds: Creation, accumulation and
maintenance; augmentations.Any
resolution authorizing the issuance of bonds under the provisions of this chapter
or as may be otherwise provided by law shall provide for the creation,
accumulation and maintenance of a reasonable reserve fund from bond proceeds to
secure additionally the payment of the interest on and the principal of the
bonds. Such reserve fund may be augmented by annual assessments or other
revenues, as the board of directors may determine.

(Added to NRS by 1963, 1006)

NRS 539.6362Payment of deficiency from general fund, reserve fund or other
available revenue; levy of ad valorem tax.

1. If the special fund created by the
proceeds of the annual assessments levied and collected pursuant to the
provisions of this chapter is insufficient to pay the principal of and the
interest on the bonds as they become due, the deficiency shall be paid out of
any general fund, reserve fund or any other available revenues of the district.

2. If any general fund, reserve fund and
other available revenues of the district are insufficient to pay any such
deficiency promptly, the board of directors shall then levy and it shall be its
duty to levy general (ad valorem) taxes.

(Added to NRS by 1963, 1005)

NRS 539.6363Duties of board of directors in making levy.

1. To levy and collect taxes, the board of
directors shall:

(a) Determine in each year the amount of money
necessary to be raised by general (ad valorem) taxation, taking into
consideration other sources of revenue of the district; and

(b) Fix a rate of levy which, when levied upon
every dollar of assessed valuation of taxable property within the district and
together with other revenues, will raise the amount required by the district
annually to supply funds for paying promptly in full, when due, all interest on
and principal of bonds of the district.

Ê In the event
of accruing defaults or deficiencies, an additional levy may be made as
provided in NRS 539.6364.

2. The board of directors shall certify to
the board of county commissioners of each county within the district, or having
a portion of its territory within the district, at the same time as fixed by
law for certifying thereto tax levies of incorporated cities, the rate so
fixed, with directions that at the time and in the manner required by law for
levying taxes for county purposes, such board of county commissioners shall
levy such tax upon the assessed valuation of all taxable property within the
district, in addition to such other taxes as may be levied by such board of
county commissioners at the rate so fixed and determined.

3. The board of directors shall levy such
general (ad valorem) taxes upon all property in the district which is by law
taxable for state, county and municipal purposes, without regard to any
statutory tax limitation now or hereafter existing and without limitation as to
rate or amount, fully sufficient, after making due allowance for probable
delinquencies, to provide for the prompt payment of such bonds as they become
due, both principal and interest, but subject to the limitation of Section 2 of
Article 10 of the Constitution of the State.

1. The board of directors, in certifying
annual levies as provided in NRS 539.6363, shall
take into account for the ensuing year maturing bonds and interest on bonds,
and deficiencies and defaults of prior years, and shall make ample provision
for the payment thereof.

2. In case the moneys produced from such
levies, together with other revenues of the district, are not sufficient
punctually to pay the annual installments on its bonds and interest thereon and
to pay defaults and deficiencies, then the board of directors shall make such
additional levies of taxes as may be necessary for such purposes, and
notwithstanding any limitations, such taxes shall be made and continue to be
levied until the bonds of the district, both principal and interest, shall be
fully paid.

(Added to NRS by 1963, 1007)

NRS 539.6365Payment of taxes to district; lien.

1. The body having authority to levy taxes
within each county shall levy the general (ad valorem) taxes provided in this
chapter. All officials charged with the duty of collecting taxes shall collect
such taxes at the time and in the form and manner and with like interest and
penalties as other general (ad valorem) taxes are collected and, when
collected, shall pay the same to the district ordering its levy and collection.
The payment of such collections shall be made monthly to the treasurer of the
district and paid into the depository thereof to the credit of the district.

2. All taxes levied under this chapter,
together with interest thereon and penalties for default in payment thereof and
all costs of collecting the same, shall, until paid, constitute a perpetual
lien on and against the property taxed, and such lien shall be on a parity with
the tax lien of other general taxes, and no sale of such property to enforce
any general tax or other lien shall extinguish the perpetual lien of such
district taxes.

(Added to NRS by 1963, 1007)

NRS 539.6366Sale of property for nonpayment of taxes.If the general (ad valorem) taxes levied are
not paid as provided in this chapter, the property subject to the tax lien
shall be sold, and the proceeds thereof shall be paid over to the district
according to provisions of the laws applicable to tax sales and redemptions.

(Added to NRS by 1963, 1007)

Bonds Payable From or Secured by Pledge of Net Revenues

NRS 539.6371Issuance authorized to finance revenue-producing project.Any bonds issued to finance or refinance the
costs of a revenue-producing project of the district may be payable solely
from, or additionally secured by, a pledge of the net revenues of that project
or the net revenues of any revenue-producing facility of the district.

NRS 539.6375Covenants and other provisions.Any
resolution of the board providing for the issuance of any bonds additionally
secured by pledged revenues and any indenture or other instrument or
proceedings appertaining thereto may contain covenants or other provisions,
even if those covenants and provisions may limit the exercise of powers
conferred by this chapter, in order to secure the payment of those bonds, in
agreement with the holders of those bonds, including covenants or other
provisions as to any of the following:

1. The pledged revenues, the assessments
and the taxes to be fixed, charged or levied and the collection, use and
disposition thereof, including the foreclosure of liens for delinquencies, the
discontinuance of services, facilities or use of any properties or facilities,
prohibition against free service, the collection of penalties and the costs of
collection and the use and disposition of any money of the district, derived or
to be derived, from any source designated in the provisions of this chapter;

2. The acquisition or improvement of or
equipment for all or any part of properties pertaining to any project or other
facilities;

3. The creation and maintenance of reserves
or sinking funds to secure the payment of the principal of and interest on any
bonds or of the expenses of operation and maintenance of a project and other
facilities, or part thereof, and the source, custody, security, regulation, use
and disposition of any such reserves or funds, including the powers and duties
of any trustee with regard thereto;

4. A fair and reasonable payment by the
district from its general fund or other available money for the project and
other facilities or for services rendered thereby to the district;

5. The payment of the cost of any project
by delineating the purposes to which the proceeds of the sale of the bonds may
be applied, and the custody, security, use, expenditure, application and
disposition thereof;

6. The temporary investment and any
reinvestment of proceeds of bonds, any assessments or any taxes or pledged
revenues, or any combination thereof;

7. The pledge of and the creation of a
lien upon pledged revenues and the proceeds of bonds, pending their application
to defray the cost of any project, to secure the payment of bonds issued
pursuant to this chapter;

8. The payment of the principal of and
interest on the bonds, and any prior redemption premiums due in connection
therewith, and the sources and methods thereof, the rank or priority of any
bonds as to any lien or security for payment, the acceleration of any maturity
of any bonds, or the issuance of other or additional bonds payable from or
constituting a charge against or lien upon any pledged revenues or other money
pledged for the payment of bonds and the creation of future liens and
encumbrances;

9. The use, regulation, inspection,
management, operation, maintenance or disposition, or any limitation on or
regulation of the use, of all or any part of the project and other facilities;

10. The determination or definition of net
revenues from the project and other facilities or of the expenses of operation
and maintenance of the project and other facilities, the use and disposition of
those revenues and the manner of and limitations upon paying those expenses;

11. The creation of special funds and
accounts appertaining to any pledged revenues or to the bonds;

12. The insurance to be carried by the
district or any other person in interest and the use and disposition of money
from the insurance, the acquisition of completion, performance, surety and
fidelity bonds appertaining to any project or funds, or both, and the use and
disposition of any proceeds of those bonds;

13. Books of account, the inspection and
audit thereof, and other records appertaining to any project, facilities or
pledged revenues;

14. The assumption, payment or discharge
of any obligation, lien or other claim relating to any part of any project, any
facilities or any securities having or which may have a lien on any part of any
pledged revenues or other money of the district;

15. Limitations on the powers of the
district to acquire or operate, or permit the acquisition or operation of, any
structures, facilities or properties which may compete or tend to compete with
the project and other facilities;

16. The vesting in a corporate or other
trustee of such property, rights, powers and duties in trust as the board may
determine, including any or all of the rights, powers and duties of the trustee
appointed by the holders of the bonds and limiting or abrogating the right of
those holders to appoint a trustee, or limiting the rights, duties and powers
of that trustee;

17. Any defaults, rights and liabilities
arising therefrom, and the rights, liabilities, powers and duties arising upon
the breach by the district of any covenants, conditions or obligations;

18. The terms and conditions upon which
the holders of the bonds or any portion, percentage or amount of them may
enforce any covenants or provisions made by the district in the resolution or
duties imposed thereby;

19. The terms and conditions upon which
the holders of the bonds or of a specified portion, percentage or amount
thereof, or any trustee therefor, are entitled to the appointment of a
receiver, who may enter and take possession of the project and other facilities
or service, operate and maintain them, prescribe fees, rates and charges, and
collect, receive and apply all revenues thereafter arising therefrom in the
same manner as the district might do;

20. A procedure by which the terms of any
resolution authorizing bonds, or any other contract with any holders of bonds,
including an indenture of trust or similar instrument, may be amended or
abrogated, and as to the proportion, percentage or amount of bonds the holders
of which must consent thereto, and the manner in which that consent may be
given;

21. The terms and conditions upon which
any or all of the bonds become or may be declared due before maturity, and as
to the terms and conditions upon which that declaration and its consequences
may be waived; and

22. All such acts as may be necessary,
convenient or desirable in order to secure the bonds, or in the discretion of
the board tend to make the securities more marketable, even if such covenant or
act is not enumerated in this section, to give the board the power to do in the
name and on behalf of the district all things in the issuance of bonds and for
their security, except as expressly limited in this chapter.

1. Revenues pledged for the payment of any
bonds, as received by or otherwise credited to the district, are immediately
subject to the lien of each pledge without any physical delivery thereof, any
filing or further act.

2. The lien of each such pledge and the
obligation to perform the contractual provisions made in the authorizing
resolution or other instrument appertaining thereto has priority over any or
all other obligations and liabilities of the district, except as otherwise
provided in this chapter or in the resolution or other instrument, and subject
to any prior pledges and liens.

3. The lien of each such pledge is valid
and binding as against all persons having claims of any kind in tort, contract
or otherwise against the district whether or not those persons have notice
thereof.

NRS 539.6385Rights and powers of holders of bonds.Subject
to any contractual limitations binding upon the holders of any issue or series
of bonds, or trustee therefor, including the restriction of the exercise of any
remedy to a specified proportion, percentage or number of those holders, and
subject to any prior or superior rights of others, any holder of bonds, or
trustee therefor, has the right and power, for the equal benefit and protection
of all holders of bonds similarly situated:

1. By mandamus or other suit, action or
proceeding at law or in equity to enforce his or her rights against the
district, the board and any other officers, agents and employees of the
district, to require and compel the district, the board or any such officers,
agents or employees to perform and carry out their respective duties,
obligations or other commitments under this chapter and their respective
covenants and agreements with the holder of any bonds;

2. By action or suit in equity to require
the district to account as if it is the trustee of an express trust;

3. By action or suit in equity to have
appointed a receiver, who may enter and take possession of the project and
other facilities and any pledged revenues for the payment of the bonds,
prescribe sufficient fees derived from the project and other facilities, and
collect, receive and apply all pledged revenues or other money pledged for the
payment of the bonds in the same manner as the district might do in accordance
with the obligations of the district; and

4. By action or suit in equity to enjoin
any acts or things which may be unlawful or in violation of the rights of the
holder of any bonds and to bring suit thereupon.

1. If a resolution of the board
authorizing or providing for the issuance of any bonds of any series or any
other proceedings appertaining thereto contains a provision authorized by
subsection 19 of NRS 539.6375 and further provides
in substance that any trustee appointed pursuant to subsection 16 of NRS 539.6375 has the powers provided by that
subsection, then that trustee, whether or not all of the bonds of that series
have been declared due, is entitled as of right to the appointment of a
receiver of the project and other facilities which generate pledged revenues.

2. Any receiver appointed as permitted by
subsection 19 of NRS 539.6375 may enter upon and
take possession of the project and other facilities appertaining thereto, and,
subject to any pledge or contract with the holders of those bonds, shall take
possession of all money and other property derived from or applicable to the
acquisition, operation, maintenance or improvement of the project or other
facilities, proceed with such acquisition, operation, maintenance or
improvement which the board on the behalf of the district is under any
obligation to do, operate, maintain, equip and improve the facilities, fix,
charge, collect, enforce and receive the charges for services and all revenues
thereafter arising subject to any pledge thereof or contract with the holders
of the bonds relating thereto and perform the duties and carry out the
contracts and obligations of the district in the same manner as the board
itself might do and under the direction of the court.

NRS 539.640Resolution of district concerning availability of bonds for
legal investments; copy filed with Department of Taxation.Whenever the board of directors of any
irrigation district organized and existing under and pursuant to the laws of
the State of Nevada by resolution declares that it deems it desirable that any
contemplated or outstanding bonds of the district, including any of its bonds
authorized but not sold, be made available for the purposes provided for in NRS 539.660, the board of directors shall file a
certified copy of such resolution with the Department of Taxation.

NRS 539.643Investigation of affairs of district; report of Department of
Taxation.The Department of
Taxation, upon the receipt of a certified copy of such resolution, shall,
without delay, investigate the affairs of the district and report in writing
upon such matters as it may deem essential, and particularly upon the following
points:

1. The supply of water available for the
project and the right of the district to so much water as may be needed.

2. The nature of the soil as to its
fertility and susceptibility to irrigation, the probable amount of water needed
for its irrigation, and the probable need of drainage.

3. The feasibility of the district’s
irrigation system and of the specific project for which the bonds under
consideration are desired or have been used, whether such system and project is
constructed, projected or partially completed.

4. The reasonable market value of the
water, water rights, canals, reservoirs, reservoir sites and irrigation works
owned by the district or to be acquired or constructed by it with the proceeds
of any of such bonds.

5. The reasonable market value of the
lands included within the boundaries of the district.

6. Whether or not the aggregate amount of
the bonds under consideration and any other outstanding bonds of the district,
including bonds authorized but not sold, exceeds 50 percent of the aggregate
market value of the lands within the district and of the water, water rights,
canals, reservoirs, reservoir sites and irrigation works owned, or to be
acquired or constructed with the proceeds of any of the bonds, by the district,
as determined in accordance with subsections 4 and 5.

7. The numbers, date or dates of issue,
and denominations of the bonds, if any, which the Department of Taxation finds
are available for the purpose provided for in NRS
539.660, and, if the investigation has covered contemplated bonds, the
total amount of bonds which the district can issue without exceeding the
limitation expressed in subsection 6.

NRS 539.645Provisions of NRS 539.643
directory only.The provisions of NRS 539.643 as to the points upon which the Department
of Taxation shall report are directory, and the Department may authorize such
certification when in its opinion, subject to the provisions otherwise
contained in NRS 539.640 to 539.665,
inclusive, its findings justify such action.

1. The written report of the investigation
provided for in NRS 539.640 to 539.665, inclusive, shall be filed in the office of
the State Controller, and a copy of the report shall be forwarded by the
Department of Taxation to the secretary of the district for which the
investigation has been made.

2. If the Department finds, as set out in
the report, that the irrigation system of the district and the specific project
for which the bonds under consideration are desired or have been used, whether
such project is constructed, projected or partially completed, are feasible and
that the aggregate amount of the bonds under consideration and any other
outstanding bonds of the district, including bonds authorized but not sold,
does not exceed 50 percent of the aggregate market value of the lands within
the district and of the water, water rights, canals, reservoirs, reservoir
sites and irrigation works owned or to be acquired or constructed with the
proceeds of any of the bonds by the district, the bonds of such irrigation
district, as described and enumerated in the report filed with the State Controller,
shall be certified by the State Controller, as provided for in NRS 539.640 to 539.665,
inclusive.

3. If the Department is notified by the
board of directors of any district whose irrigation system has been found in
such report to be feasible that the district has issued bonds and the
Department finds that the bonds are for any project or projects approved in
such report and the amount of the bonds does not exceed the limitation stated
in such report, the Department shall prepare and file with the State Controller
a supplementary report giving the numbers, date or dates of issue, and
denominations of the bonds which shall then be entitled to certification by the
State Controller as provided for in NRS 539.640 to 539.665, inclusive.

4. Subsequent issues of bonds may be made
available for the purpose specified in NRS 539.640
to 539.665, inclusive, upon like proceedings by the
district, but, after any of the bonds of an irrigation district have been
enumerated and described as entitled to certification by the State Controller,
it is unlawful for that district to issue bonds that will not be entitled to
such certification.

5. The State Controller shall:

(a) Provide for filing and preserving the reports
mentioned in this section; and

(b) Make, keep and preserve a record of the bonds
certified in accordance with the provisions of NRS
539.655, including the date of certification, the legal title of the
district, the number of each bond, its par value, the date of its issue and
that of its maturity.

NRS 539.650Expenditures from construction fund after certification of bonds
prohibited without consent of Department of Taxation.After
the bonds of any irrigation district have been certified, as provided in NRS 539.640 to 539.665,
inclusive, no expenditure of any kind may be made from the construction fund of
such district without the consent of the Department of Taxation, and no
obligation may be incurred chargeable against such fund without previous
authorization of the Department, nor may any expense of any kind be incurred in
excess of money actually provided by levy of assessment or otherwise.

NRS 539.653Progressive construction: Certification of bonds as needed;
prior approval of Department of Taxation if all bonds certified.

1. Whenever the survey, examinations,
drawings and plans of an irrigation district, and the estimate of cost provides
that the works necessary for a completed project shall be constructed
progressively over a period of years in accordance with a plan or schedule
adopted by resolution of the board of directors of the district, it is not
necessary for the Department of Taxation to certify at one time all of the
bonds that have been voted for the completed project; but such bonds may be
certified from time to time as needed by the district.

2. If the Department certifies all of the
bonds necessary for the completed project, even if the project is to be
constructed progressively over a period of years in accordance with the
resolution of the board of directors, the bonds so voted and certified shall
only be sold after prior written approval of the Department.

NRS 539.655Form of certificate of State Controller; facsimile signature
authorized.

1. Whenever any bond of an irrigation
district organized and existing under and pursuant to the laws of the State of
Nevada, including any bond authorized in any such district but not sold, which
is eligible to certification by the State Controller under NRS 539.647, is presented to the State Controller, the
State Controller shall attach a certificate in substantially the following
form:

Carson
City, Nevada................................... (insert date).

I, ........................,
State Controller of the State of Nevada, do hereby certify that the within
bond, No. ..... of issue No. ........ of the ................ Irrigation
District, issued ................ (insert date), is, in accordance with NRS 539.640 to 539.665,
inclusive, a legal investment for all trust funds and for the money of all
insurance companies, banks, both commercial and savings, credit unions, trust
companies, and any money which may be invested in county, municipal or school
district bonds, and it may be deposited as security for the performance of any
act whenever the bonds of any county, city or school district may be so
deposited, it being entitled to such privileges by virtue of an examination by
the Department of Taxation in pursuance of NRS 539.640
to 539.665, inclusive. The within bond may also be
used as security for the deposit of public money in banks or credit unions in
this state.

2. In case of a change in the constitution
or any of the laws of this state relating to the bonds of irrigation districts,
the State Controller shall, if necessary, modify the above certificate so that
it conforms to the facts.

3. A facsimile of the State Controller’s
signature, printed or otherwise, impressed upon the certificate is a sufficient
signing thereof.

NRS 539.657District to pay expenses of investigation and report.All necessary expenses incurred in making the
investigation and report provided for in NRS 539.640
to 539.665, inclusive, shall be paid as the
Department of Taxation may require by the irrigation district whose property
has been investigated and reported on by the Department; but the benefit of any
services that have been performed and any data that have been obtained by the Department
or any other public official, in pursuance of the requirements of any law other
than NRS 539.640 to 539.665,
inclusive, shall be made available for the use of the Department of Taxation
without charge to the district whose affairs are under investigation.

1. All bonds certified in accordance with
the terms of NRS 539.640 to 539.665,
inclusive, are legal investments for all trust funds, and for the money of all
insurance companies, banks, both commercial and savings, credit unions and
trust companies.

2. Whenever any money may, by law now or
hereafter enacted, be invested in bonds of cities, counties, school districts
or municipalities in the State of Nevada, such money may be invested in the
bonds of irrigation districts, and whenever bonds of cities, counties, school
districts or municipalities may by any law now or hereafter enacted be used as
security for the performance of any act, bonds of irrigation districts under
the limitations in NRS 539.640 to 539.665, inclusive, provided it may be so used.

NRS 539.663Bonds of irrigation districts of other states as legal
investments; limitations.The
bonds of irrigation districts of other states having similar laws for
certification thereof may be used in like manner as the bonds of irrigation
districts of this state where the laws of such state permit a like use to be
made of bonds of irrigation districts of this state.

[11:34:1921; NCL § 8227]

NRS 539.665Faith of State of Nevada pledged.The
faith of the State of Nevada is hereby pledged that any law under which
irrigation district bonds are issued shall not be repealed, nor taxation
thereby imposed omitted, nor such law be so amended as to impair the security
of such bonds, until all the bonds and coupons issued under and by virtue
thereof have been paid in full as specified and provided in such law.

[12:34:1921; NCL § 8228]

ASSESSMENTS

NRS 539.667Secretary is district assessor; preparation of assessment book
annually; contents of assessment book.

1. The secretary of the board of directors
shall be the assessor of the district. On or before January 15 of each year the
secretary shall prepare an assessment book containing a full and accurate list
and description of all the land of the district, and a list of the persons who
own, claim or have possession or control thereof during the year, giving the
number of acres listed to each person.

2. If the name of the person owning,
claiming, possessing or controlling any tract of land is not known, it shall be
listed to “unknown owner.”

[25:64:1919; A 1923, 289; 1927, 309; 1954, 20]

NRS 539.670Levy of assessments and tax by board; computation and entry in
assessment book.

1. At its regular meeting in February the
board of directors shall fix the rate and levy an assessment upon the lands in
the district, in accordance with the provisions of this chapter, which levy and
assessment shall be sufficient to raise the annual interest on the outstanding
bonds or any contractual obligation.

2. At the expiration of 10 years after a
bond issue or such other period as may be authorized, the board must increase
the assessment as may be necessary from year to year to raise a sum sufficient
to pay the principal of the outstanding bonds of that issue as they mature, and
must increase the assessment in such amount as may be necessary from year to
year to raise a sum sufficient to pay the principal of any outstanding
contractual obligation, as such principal may be required to be paid under the
terms of the contract.

3. The board may levy a tax upon the lands
in the district either upon the same pro rata basis as benefits may have been
apportioned, or otherwise, as the case may be, in order to secure such funds as
may be deemed necessary to replace any deficit that may occur in a fund created
for the repayment of a district obligation by reason of tax delinquencies.

4. The secretary of the board shall
compute and enter in a separate column of the assessment book or books the
respective sums to be paid as an assessment on the property therein enumerated.

5. Except as otherwise provided herein,
assessments made for any of the other purposes of this chapter shall be made
and levied as above provided and entered in appropriate columns of the
assessment book or books.

NRS 539.673Assessment by district board of land escaping assessment.If any land within the district subject to
assessment for the purposes of the district has not been assessed by the
assessor or does not appear upon the district assessment roll adopted by the
board of directors as the basis of assessment for the district, the land so
omitted shall be assessed by the board of directors to the person or persons
known or unknown who own, control or have possession thereof, and a description
of the property so omitted shall be written in the roll prescribed for the
purpose of district assessments, and all proper charges shall be levied
thereon.

1. Where the last preceding assessment
made will raise a sufficient revenue for the purposes of NRS
539.670, in the event no other assessment is made, such assessment shall be
deemed to have been levied for succeeding years, so long as it will produce the
revenue required, and the taxes shall be collected in the same manner, and all
officers shall perform the same duties in respect thereto, as though such
assessment had been made for the particular year by the board of directors of
the district.

2. Where the assessment which should have
been levied can be determined by a mere mathematical computation based on the
relation between the amount to be raised for interest or interest and the
redemption of bonds for any particular year and the apportionment of benefits
in the district, such assessment shall be deemed to have been made, and the
taxes based thereon shall be collected the same as though such assessment had
been regularly levied by the board of directors of the district.

NRS 539.677Levy of assessments by county commissioners or Department of
Taxation; duties of district attorney and Attorney General.

1. In case of failure or refusal of the
board of directors to levy an assessment as provided in NRS
539.670, then, if such assessment has not otherwise been levied, the board
of county commissioners of the county in which the office of the district is
located shall levy such assessment at its next regular meeting or at a special
meeting called for such purpose.

2. The Department of Taxation, at any time
upon obtaining knowledge of such failure or refusal, shall levy such assessment
forthwith.

3. The district attorney of the county in
which the office of any irrigation district is located, at the time such
assessment should be made, shall ascertain the fact in respect to the same, and
if such assessment has not been made by the board of directors as required, the
district attorney shall immediately notify the board of county commissioners,
the Department of Taxation and the Attorney General in respect to such failure.
The district attorney and the Attorney General shall aid in obtaining the
earliest possible assessment following such failure or refusal of the district
board to act.

NRS 539.680Correction of assessments; notice of time of meeting to correct
assessments; retention of assessment book in district office for inspection; changes
in assessments.

1. The board shall meet at its regular
monthly meeting in March of each year to correct assessments and may at such
meeting correct assessments so as to conform with the benefits apportioned as
provided for in this chapter to pay obligations incurred or make up
deficiencies arising from any source, and also to apportion and distribute
benefits and assessments by reason of additional land in the district becoming
subject thereto.

2. The secretary shall publish notice of
such meeting for 2 weeks in a newspaper published in the county in which the
district was organized. In the meantime the assessment book or books shall
remain in the office of the secretary for the inspection of all interested
persons.

3. The board of directors, which is hereby
constituted a board of correction for the purpose, shall meet and continue from
day to day as long as may be necessary, not to exceed 5 days, exclusive of
holidays, and may make such changes in the assessment book or books as may be
necessary to have it conform to the facts.

4. Within 10 days after the close of the
season the secretary of the board shall have the corrected assessment book or
books completed.

[26:64:1919; A 1921, 118; 1923, 289; 1927, 309; 1954,
20]

NRS 539.683Collection of assessments: Procedure; duties of county and
district officers.

1. An assessment roll shall be made up for
the lands in each county in which the district is situated, and the secretary
of the board of directors shall forthwith certify a duplicate of the same not
later than May 15 of each year to the county auditor, or county auditors, as
the case may be, who shall adopt the assessment roll in its entirety without
alteration or change as a part or unit of the tax rolls of the county or
counties.

2. The county treasurer shall separately
itemize the items of such assessment roll on the statement of state and county
taxes.

3. The assessments when levied and
enrolled shall become due and delinquent at the same time and be subject to the
same penalties and shall be collected by the same officers and in the same
manner as state and county taxes.

4. The county auditor, district attorney,
county clerk and county treasurer shall do and perform all acts necessary to
accomplish the collection of the same with penalties, the sale for delinquency,
the redemption of the lands involved, and the remittance of all proceeds to the
district treasurer.

5. The secretary of the board of
directors, at the time of delivering the duplicate assessment roll of the
district to each county auditor, shall attach thereto, in some suitable form, a
recapitulation list showing the name or names of each person, corporation or
association listed in the assessment roll and the amount of money assessed and
to be collected by the county treasurer or tax collector, which recapitulation
list shall be delivered by the county auditor to the county treasurer with the
duplicate assessment roll. The county treasurer shall insert after each name,
in proper columns provided for that purpose in the duplicate assessment roll
and in the recapitulation list, the amount paid by each person, or persons,
corporation or association appearing on the assessment roll, or by stamping the
word “Paid” after each sum, if the assessment is paid in full.

6. The recapitulation list shall be
redelivered by the county treasurer to the district treasurer, together with
the full amount of moneys collected, not later than the 15th day of the month
upon which each installment of taxes becomes due and delinquent, and for the
purpose of enabling the county treasurer to redeliver to the district treasurer
the recapitulation list after each installment of taxes becomes due and
reporting thereon the collection of taxes made by him or her not theretofore
reported, the district treasurer shall, before each installment of taxes
becomes due, redeliver to the county treasurer the recapitulation list.

7. The county treasurer, prior to the time
of redelivery of the recapitulation list and report to the district treasurer,
shall, in each instance, report to the county auditor the amount of money which
the county treasurer has collected for and on behalf of the district since the
last report, and thereupon the county auditor shall draw his or her warrant for
the same, placing the same in the hands of the county treasurer, who is
authorized to pay the moneys to the district treasurer at the time of
delivering the recapitulation list and report.

[29:64:1919; A 1927, 309; 1933, 271; 1935, 135; 1954,
20]

NRS 539.685Addition of unpaid tolls and charges to assessment levies.Whenever any tolls or charges for the use of
water and other charges for services rendered by an irrigation district have
been fixed by the board of directors it shall be lawful to make the same
payable in advance, and in case such tolls or charges remain unpaid at the time
specified in this chapter for levying the annual assessment, the amount due for
such tolls and charges may be added to and become a part of the assessment
levied upon the land upon which the water for which such toll or charges levied
and remain unpaid was used.

1. An assessment is a lien against the
property assessed from and after the time such assessment is made.

2. The lien of the bonds of any series
shall be a preferred lien to that of any subsequent series, and such lien is
not removed until the assessments are paid or the property sold for the payment
thereof.

[28:64:1919; A 1921, 118; NCL § 8040]

NRS 539.690Special assessments: Procedure for levy; election; authority to
levy assessments for number of years for specific purposes.

1. The board of directors of a district
may, at any time when deemed advisable, submit to the qualified electors of the
district at a special election, district election or primary or general state
election the question of whether a special assessment shall be levied for the
purpose of raising money to be applied to any of the purposes provided in this
chapter.

2. The election must be held and the
result thereof determined and declared in all respects in conformity with the
provisions of this chapter in respect to bond elections.

3. The notice must specify the amount of
money proposed to be raised and the purpose for which it is intended to be
used, and whether an equal rate of assessment or a special apportionment of
benefits is to be made in that relation if either is proposed.

4. At the election, the ballots must
contain the words “Assessment — Yes,” or “Assessment — No.”

5. If two-thirds or more of the votes cast
are “Assessment — Yes,” the board shall immediately proceed to apportion the
benefits, if that apportionment is to be made, and to levy an assessment
sufficient to raise the amount voted.

6. The assessment so levied must be
entered in the assessment book or books by the secretary of the board and
collected in the same manner as other assessments provided for in this chapter
and when received by the treasurer of the district must be deposited and kept
in the construction fund.

7. At the election, there may be submitted
the proposition of authorizing the board of directors to levy each year for a
stated number of years assessments not exceeding a stated amount per acre to
provide a fund from which repairs may be made and replacement and extensions of
existing works may be constructed and paid for as the necessity arises. In that
case, if a general description of the proposed undertaking is provided, no
plans and specifications are required to be provided in advanced. If the
proposition is approved by two-thirds of the electors, the board may levy the
assessment and it must be collected as other assessments are collected pursuant
to this chapter. Money realized from the assessments must be deposited and kept
in the general fund and disbursed by the treasurer in accordance with the
direction of the board or rules and regulations established by it.

NRS 539.693Sale of land in district because of delinquency in payment of
tax; land sold subject to accrued and accruing liens for charges, tolls,
assessments and taxes.

1. Whenever the county officers designated
in NRS 539.683 shall sell any of the lands in the
district because of delinquencies in the payment of district, state or county
taxes, the lands shall be sold subject to the accrued and accruing liens for
district assessments, charges and tolls against the same; and under no
circumstances shall the water and water rights of the district be included or
sold at such delinquent sales unless and until all district taxes, assessments,
charges and tolls against such lands shall have been first fully paid to the
district.

2. Unpaid and accruing district
assessments, taxes, charges and tolls against such lands sold at delinquent tax
sales shall continue a charge and lien against such lands, and any purchaser of
such lands, except the district itself, shall take the same subject to the
payment by the purchaser of all such accrued and accruing charges, tolls,
assessments and taxes in addition to the purchase price of the land.

NRS 539.695Procedure for summary foreclosure of lien for accrued charges,
tolls or assessments; notice of sale; sale for delinquency in taxes.

1. In any and all cases where solely on
account of delinquent district taxes, charges, tolls or assessments any lands
in the district have been sold or may hereafter be sold at a delinquent tax
sale, either to the county or to any other person, firm, corporation or
association, except the district, and the period of redemption has or shall
have expired, the lien for all accrued district assessments, charges and tolls
against the same may be summarily foreclosed by giving notice of sale in
substantially the same manner and for the same time as required by law for
delinquent tax sales by the county treasurer.

2. The county treasurer shall and is
hereby directed immediately to give notice of such sale within 5 days after
receiving written demand to make such sale from the secretary of the district
to the effect that the board of directors of the district has ordered the
foreclosure of the lien.

3. The county treasurer shall conduct such
sale in substantially the same manner as delinquent tax sales are now conducted
by the county treasurer.

4. If there are no other bidders at such
sale or a sale cannot be made for sufficient to pay the lien for all accrued
district taxes, assessments, charges and tolls, including penalties and cost of
advertising, then the county treasurer shall bid in the lands and appurtenances
in the name of and for the district. There shall be no right of redemption from
such sale and the title shall thereupon become absolute in the district. The
county treasurer shall immediately execute a deed for the lands and
appurtenances in the name of the district and deliver the same to the secretary
of the district to be immediately recorded with the county recorder of the
county where the land is situated.

5. In cases where lands and appurtenances
in the district are sold at a delinquent tax sale on account of delinquent
state and county taxes as well as for delinquent district taxes, charges, tolls
or assessments, then the county treasurer shall bid in such lands for the
district and county jointly in cases where there is no other bidder for the
same. In such cases the county shall be deemed to be holding the title for both
the county and the district in the proportion of their respective tax claims
against the same. Such lands and appurtenances shall thereafter be disposed of
at a summary sale in the manner hereinabove provided, except that no sale shall
be made for a price less than the whole amount of delinquent taxes, penalties
and costs of both county and district.

6. The board of county commissioners may
compromise the amount of state and county tax to be included in such sale price
if the full amount cannot be obtained at such sale, but if the sale is made to
the district, the latter shall not be required to make payment of any part of
the delinquent state and county taxes which may have been a charge against such
land, but shall take the same free of any lien based thereon.

NRS 539.697Distribution and sale of water acquired at sale for delinquent
tax or summary foreclosure.The
board shall not, however, sell or dispose of water appurtenant to, apportioned,
or allotted to the lands acquired at delinquent tax sales, or at summary sales,
until and unless the remaining lands in the district under irrigation to which
benefits have been apportioned by the district and which are entitled to
receive water from the district pursuant to the apportionment of benefits, and
from the same source of supply, shall have a sufficient and adequate water
supply available for such irrigated areas as have been apportioned benefits.
The board of directors shall distribute such waters acquired at delinquent tax
sales or at summary foreclosure sales among the remaining nondelinquent
landowners in the district entitled to receive water from the district in, as
near as may be, the same proportion as fixed by the original apportionment of
benefits for the remaining nondelinquent lands. In case the water right
appurtenant to land acquired at a delinquent sale shall be based upon a contract
with the United States, the district may, with the consent of the United
States, make any desired disposition of such water right.

NRS 539.700Exclusion of land from benefits if land sold for delinquent
taxes or assessments: Consent of bondholders and others.Whenever any lands in the district have been
sold for delinquent irrigation district taxes or assessments or for delinquent
state and county or other taxes, and the title of such lands has passed as
provided by law, either to the county or to the irrigation district, and the
period of redemption has expired, the board of directors of the district shall
have the power by and with the written consent of the bondholders holding 100
percent of the outstanding bonds of the district, or in case of a contract with
the United States constituting a lien upon the lands, then also with the
written consent of the Secretary of the Interior, or in case there are
outstanding certificates of indebtedness which constitute a lien upon the lands
of the district, then with the written consent of the holders of 100 percent of
those holding such certificates of indebtedness, to exclude such lands, or any
part thereof, from further participation in the benefits of the district, and
particularly to exclude such lands or any part thereof from any further right
to receive from the district either under an apportionment of benefits or any
other waters of the district.

[Part 29 3/4:64:1919; added 1937, 372; A 1953, 379]

NRS 539.703Water and water rights become part of general supply when land
excluded from further participation in benefits.Whenever
the board of directors of the district shall have adopted a resolution
excluding such lands from further participation in the benefits of the district
and from the right to receive district waters, the water or water rights
theretofore apportioned to the lands shall be and become a part of the general
water supply of the district and apportioned among the remaining nondelinquent
lands in the same proportion as such remaining nondelinquent lands have been
apportioned benefits, not in excess, however, of an adequate water supply for
such remaining land based upon the duty of water recognized by the district;
but in case the water right appurtenant to land acquired at a delinquent sale
shall be based upon a contract with the United States the district may, with
the consent of the United States, make any desired disposition of such water
right.

[Part 29 3/4:64:1919; added 1937, 372; A 1953, 379]

NRS 539.705Land excluded from participation in benefits: Transfer of
storage rights and benefits apportioned to other land.

1. The owner of land excluded from
participation in the benefits of the district, that is, stripped of storage
water and benefits under the provisions of NRS 539.700
and 539.703, may petition the board of directors to
transfer to such stripped land the storage rights and benefits apportioned to
other land. Upon the hearing of the petition the board of directors may at its
discretion grant or refuse the transfer in whole or in part. In exercising its
discretion the board of directors shall consider the effect of the proposed
change on the cost of water for other holders of water rights in the district,
the district’s efficiency in its delivery or use of water, the existing water
rights in the affected land and the public interest.

2. The petition must:

(a) Be in writing and under oath.

(b) Describe the land and acreage from which it
is proposed to transfer the storage water and benefits.

(c) Specify the amount of storage water and
benefits proposed to be transferred.

(d) Describe the land and acreage to which the
transfer of storage water and benefits is proposed to be made.

(e) List in detail all liens existing against
each parcel of land.

3. Upon receipt of the petition, together
with the sum of money required for advertising, the secretary of the board
shall cause notice of the application and the date of hearing thereof to be
given by posting for a period of not less than 10 days and also by two
publications 7 days apart in a newspaper of general circulation in the county
in which the land is situated, during such period.

4. Any person interested in the proposed
transfer may file a written protest thereto at any time before the hearing day.
The protest must be considered by the board of directors in exercising its
discretion to grant or refuse the requested transfer.

5. The board of directors may consider the
application at any regular or special meeting, but not sooner than 14 days
after the first date of publication.

6. At the hearing a full record of all
proceedings must be taken and spread upon the minutes. If the petition proposes
to change the point of diversion or manner of use, the board of directors shall
not make any order on the petition until such time as an appropriate permit is secured
from the State Engineer in accordance with chapter
533 of NRS authorizing the change.

7. The petition, notices, protests,
resolutions and all subsequent proceedings in relation to the application must
be file marked and preserved for record purposes. If the board of directors
grants all or a part of the transfer requested, a certified copy thereof must
be recorded in the office of the county recorder of the county in which the
land to be affected is situated, and thereafter the recorded copy must be
delivered to the petitioner upon payment of the recording fees.

8. To the extent that the transfer is
granted it constitutes a waiver and relinquishment on the part of the district
of all restrictive covenants and provisions against the use of storage water
and benefits on the land contained in any deed executed by the board of
directors.

9. From and after the granting of any
transfer of storage water and benefits, the land from which the water and
benefits are taken must have the status of stripped land, must be excluded from
participation in the benefits of the district, and must receive no further
storage water or benefits unless storage water and benefits are restored to the
land under the provisions of this section, and all land to which the storage
water and benefits are transferred must be treated in all respects as though it
had never become delinquent and had never been stripped of storage water and
benefits and denied the benefits of the district.

10. Any person aggrieved by the order of
the board of directors may, within 30 days after the entry of the order,
petition the district court of the county in which the office of the board of
directors is located to set the same aside for such order as may be proper.

1. The holder or holders of any title or
evidence of title, as defined in NRS 539.020 and 539.023, representing one-half or more of any lands
adjacent to or in the vicinity of an irrigation district, whether contiguous or
not, and which are susceptible of irrigation or drainage, or both, by the
district system, or combined systems of works, may file with the board of
directors of the district a petition, in writing, setting forth that those
lands are susceptible of irrigation or drainage, or both, as the case may be, by
the district system or systems, and praying that the land be annexed.

2. The petition must describe the land and
also describe the several parcels owned by the petitioners.

3. All or any portion of the lands in any
city in which the vote for mayor at the last preceding election was not less
than 550 votes and not more than 1,000 votes, may in the same manner be
included within the boundaries of any irrigation district if the lands are
susceptible of irrigation or drainage, or both, by the district system or
systems, and upon their inclusion the lands in the city, town or municipal
corporation are subject to all of the provisions of this chapter.

NRS 539.712Notice of filing of petition for annexation: Posting; contents;
advancement of costs by petitioners.

1. The secretary shall cause a notice of
the filing of such petition to be given for 3 consecutive weeks by posting in
five public and conspicuous places in the district, with at least one posting
in each division thereof.

2. The notice shall:

(a) State the filing of such petition.

(b) State the names of the petitioners.

(c) Contain a description of the lands mentioned
in the petition, sufficient to identify the same.

(d) Notify all persons interested in or who may
be affected by such change of boundaries of the district to appear at the
office of the board at a time named in the notice and show cause, in writing,
if any they have, why the lands mentioned should not be annexed to the
district.

3. The petitioner or petitioners shall
advance to the district treasurer sufficient money to pay the estimated cost of
these proceedings.

1. The board of directors, at the time
mentioned in the notice, or at any other time to which the hearing may be
adjourned, shall hear the petition and all the objections thereto.

2. The failure of any person to show cause
as provided in NRS 539.712 shall be taken as an
assent on that person’s part to a change of the boundaries of the district so
as to include the whole or part of the land mentioned in the petition.

NRS 539.716Conditions precedent to annexation; apportionment and assessment
of benefits.

1. The board of directors may require as a
condition to the granting of the petition that the petitioners shall pay to the
district such sums as nearly as the same can be estimated as the petitioners or
their grantors would theretofore have been required to pay had such lands been
included in the district at the time the same was originally organized, and may
apportion such benefits as are just and equitable to such lands in accordance
with the benefits derived or which will accrue to each tract or subdivision
thereof from the construction or proposed construction of a drainage works or
other works, or the purchase or proposed purchase of any works for the
district.

2. The board of directors shall examine
each tract or legal subdivision of such annexed lands or proposed annexed lands
and shall determine the benefits which will accrue or which have accrued, and
such lands shall be apportioned their pro rata share of the cost of such works
in proportion to the benefits derived by the lands therefrom.

3. The board shall make or cause to be
made a list of such apportionment or distribution, which list shall contain a
complete description of each subdivision or tract of land so annexed or
proposed to be annexed with the rate per acre of such apportionment or
distribution and the name of the owner thereof, or it may prepare a map on a
convenient scale showing each of the subdivisions or tracts with the rate per
acre of such apportionment entered thereon; but where all or any portion of the
lands are apportioned benefits by the board at the same rate, a general
statement to that effect shall be sufficient.

4. Whenever thereafter an assessment is
made, either in lieu of bonds or an annual assessment for raising the interest
on bonds, or any portion of the principal, or the expenses of maintaining the
property of the district, or any special assessment voted by the electors, it
shall be spread upon the lands in the same proportion as the assessments of
benefits. The benefits arising from the undertakings for which special
assessments are made may be distributed equally over the lands, or especially
apportioned, and assessments or tolls and charges may be made or imposed as
provided in this chapter, when coming within the designation of operation and
maintenance charges, by way of a minimum stated charge per acre, whether water
is used or not, and a charge for water used in excess of the amount delivered
for the minimum charge, or such other reasonable method of fixing or collecting
the operation and maintenance charge as the board of directors may adopt.

1. The board of directors, if it deems it
not for the best interest of the district to include therein the lands
mentioned in the petition shall reject all or any part of the same.

2. If the board deems it for the best
interests of the district, and if no objections to the annexation of the lands
have been filed as required in this chapter, the board may order, without any
election, that the lands mentioned in the petition or any part thereof be
annexed to the district. The order shall describe the lands so annexed, and the
board shall cause a survey thereof to be made if deemed necessary.

NRS 539.722Resolution approving annexation notwithstanding electors’
objections: Adoption; contents.If
40 percent of the total number of registered electors as evidenced by the total
registration at the last preceding election file objections in writing to the
annexation of the lands, or any part thereof, mentioned in the petition, and if
the board notwithstanding deems it for the best interests of the district to
include the lands mentioned in the petition, or some part thereof, the board
shall adopt a resolution to that effect. The resolution shall describe the
lands proposed to be included in the district.

NRS 539.724Election on question of annexation: Notice; procedure; form of
ballots.

1. Upon the adoption of the resolution
mentioned in NRS 539.722, the board shall submit to
the voters of the district at the next district election or primary or general
state election the question of whether the lands described in the resolution
shall be annexed to the district.

2. Notice of the election must be
published and the election conducted in the manner prescribed by this chapter
for the issuance of bonds of the district.

3. The notice of election must describe
the lands proposed to be annexed to the district.

4. The ballots cast at the election must
contain the words “for annexation,” or “against annexation,” or expressions
equivalent thereto.

1. If at such election a majority of all
the votes cast is against annexation, the board shall proceed no further in the
matter.

2. If a majority of such votes is in favor
of annexation, the board shall thereupon order that the boundaries of the
district be changed to include the lands to be so annexed and cause a copy of
such order, together with a plat of the lands, each certified to by the
secretary of the board, to be filed for record in the office of the county
recorder of the county or counties in which such lands are situated.

3. The order shall describe the land so
annexed and thereafter such lands shall be subject to all the provisions of
this chapter. Immediately after the filing for record of the order annexing the
lands, the directors shall state on their minutes to which division or
divisions in the district the lands shall be attached, or may redivide the
district to accommodate the lands.

NRS 539.728Apportionment of benefits following annexation: Compliance with
statutes.If the lands are annexed
to the district as provided in this chapter, and the board of directors
apportions benefits to such annexed lands as provided in this chapter, the provisions
of NRS 539.563, 539.565
and 539.567 shall, insofar as applicable, be
complied with.

NRS 539.734Inclusion within district of state lands and state lands held
under contract to purchase.

1. Whenever state lands held under
contract to purchase are included within the boundaries of any irrigation
district, such lands shall be subject to all the provisions of this chapter the
same as any other land held in private ownership.

2. State lands, not under contract to
purchase, shall not become a part of an irrigation district except by the
consent of the State Land Registrar, who is authorized and required to consent
thereto on behalf of the State upon there being filed in his or her office a
certificate signed by the State Engineer to the effect that such lands will be
benefited by inclusion therein.

3. District assessments, charges and tolls
against such lands not under contract shall become a charge against the lands,
and any sale or contract to sell any such lands thereafter shall be conditioned
upon the payment, by the purchaser or contractor, of all such accrued charges in
addition to the purchase price of the land.

4. In case of state land held under
contract, the person holding such contract shall be deemed the owner of the
land for the purposes of this chapter, and liens shall attach to his or her
rights under such contract, and such liens shall be enforced as in other cases,
subject to the paramount title of the State, and subject to the rights of a
purchaser at a sale for delinquent assessments to be subrogated to the rights
of such contract holder to acquire patent to such land from the State.

NRS 539.736Exclusion of land: Grounds; limitations.The board of directors of any district now or
hereafter formed under the provisions of this chapter, either upon its own
initiative or upon the application in writing of any holder of title or of
evidence of title to land in the district, may, by a majority vote, exclude
from the district any land or lands theretofore included in the district, and
change the boundary lines of the district so as to exclude or leave out certain
tracts or portions of tracts when the proposed system or systems of irrigation
cannot practically include such land or lands, or when such land or lands would
not be benefited by remaining in the district or by any future improvement it
might make, or when the land sought to be excluded has been, or is about to be,
incorporated into or made a part of any city or town, or when the land sought
is adjacent and contiguous to any city or town and it is proposed to develop
such land as building sites and areas; but if improvements have been commenced,
or made, or authorized, or if there are bonds or other contracts or
certificates of indebtedness outstanding, no land shall be excluded and no
established liens shall be released unless all of the holders of bonds or
contracts or certificates of indebtedness constituting liens against the land
sought to be excluded, and the owner of such land if the owner has not
petitioned for exclusion thereof, shall consent in writing to the exclusion and
unless all bonded indebtedness of the district chargeable to the land sought to
be excluded is paid, or except as provided in NRS
539.738 to 539.748, inclusive.

NRS 539.738Notice of proposed exclusion: Publication; contents.Within 10 days after the receipt of any such
application, or after the passage by the board of a resolution proposing the
withdrawal of such lands, the directors of the district shall give notice of
such proposed change or exclusion and of the date, time and place of a meeting
to be held by the board to consider such proposed change or exclusion by publication
for two issues 7 days apart in some newspaper printed in the county in which
the land sought to be excluded is situated, at least 30 days before the meeting
to consider such exclusion or change.

1. All persons failing to file written
objections within 50 days from the date of the filing of the petition for
exclusion shall be conclusively deemed to have consented to such exclusion.

2. If 25 percent of the holders of bonds
or contracts or certificates of indebtedness constituting liens against the
land sought to be excluded file objections to such exclusion within the 50-day
period the petition for exclusion shall be denied; otherwise, the board at its
sole discretion, but then only upon the payment of all bonded indebtedness of
the district chargeable to the land sought to be excluded, may by resolution
exclude the land from the district, and the land shall thereafter be denied all
benefits under the district.

1. Not less than 50 days after the filing
with the board of an application in writing by a qualified elector of the
district or after the board has of its own initiative and by resolution
declared its intention of excluding any land or lands from the district, and
after having first given notice as prescribed in NRS
539.738, the board shall meet and consider the matter and shall order or
deny the exclusion of the lands in whole or in part.

2. A copy of the order of the board shall
be published for two issues 1 week apart in some newspaper published in the
county in which the land is situated.

NRS 539.746Recording of order excluding land or changing boundaries with
plat.If lands are excluded, or
the boundary lines changed pursuant to NRS 539.736
to 539.748, inclusive, a copy of the order certified
by the secretary of the district, with a plat of the land excluded or change in
boundary made, shall be filed for record in the office of the county recorder
of the county or counties in which such land or lands are situated, and it
shall be evidence for all purposes of the facts it purports to the State.

NRS 539.748Petition to district court by aggrieved persons.Any holder of title or of evidence of title to
land in the district, or holder of any bond or contract or certificate of
indebtedness constituting a lien against the land sought to be excluded, who is
aggrieved by the order of the board of directors in excluding or refusing to
exclude lands as provided in this chapter may, within 30 days from the date of
the publication, as provided in NRS 539.744, of the
order excluding or refusing to exclude lands from the district, petition the
district court of the county in which the office of the board of directors is
situated to set aside such order, and direct that such lands be excluded or be
not excluded, as the court may order. The provisions of NRS
539.565 and 539.567, insofar as applicable,
shall be followed in such proceedings.

NRS 539.750Petition for dissolution of district: Filing with clerk of
district court; order of district judge.Upon
the filing of a petition with the clerk of the district court of the county
where the district was organized, setting forth that an irrigation district
should be forthwith dissolved, the petition to be signed by at least 25 percent
of the electors owning at least 25 percent of the land in the district, the
clerk of the district court shall forthwith obtain an order from the judge of
that court, who shall enter an order directing the officers and directors of
the irrigation district to submit to the electors the question of whether the
district shall be dissolved at the next district election or primary or general
state election.

3. That the petitioners desire that an
election be called to determine the question of dissolution by a vote of the
electors.

[Part 47:64:1919; A 1933, 261; 1931 NCL § 8063]

NRS 539.755Determination of sufficiency of percentages required on petition:
What governs clerk of district court.In
determining the sufficiency of the percentages required on the petition, the
clerk of the district court with whom such petition is filed shall be governed
by the last equalized assessment roll of the irrigation district, together with
the last equalized assessment roll of the county or counties in which the
district lands are situated, on file with the county assessor, county auditor
and county treasurer of such county or counties, together with the list of
electors from the records of the irrigation district and the registration lists
and other election and citizenship records in the offices of the county clerk
and county recorder of such county or counties.

[Part 47:64:1919; A 1933, 261; 1931 NCL § 8063]

NRS 539.757Ballots: Form.At
such election the ballot shall contain the words “Dissolution of the
District — Yes”; and “Dissolution of the District — No.”

[Part 47:64:1919; A 1933, 261; 1931 NCL § 8063]

NRS 539.760Conduct of election; canvass of votes.

1. The provisions of this chapter relating
to general elections for directors shall govern in respect to such dissolution
election ordered by the court.

2. The canvass of the vote at such
election shall be conducted in the manner provided by this chapter for general
elections.

[Part 47:64:1919; A 1933, 261; 1931 NCL § 8063]

NRS 539.763Certification of election results to district court; examination
of returns by court; order of dissolution; filing of financial statement.

1. The secretary of the district shall at
the time and in the manner provided in this chapter for certifying election
returns certify the result of the election to the district court of the county
in which such petition for dissolution was filed.

2. The court shall examine such returns on
the Monday following such certification at 1:30 p.m., and in case it is found
that a majority of the electors cast their vote in favor of “Dissolution of the
District — Yes,” and that the electors voting at the election represent a
majority of the acreage in the district, the court shall enter its order
dissolving the district, and thereupon the court shall enter its further order
directing the directors of the district to file with the court a financial
statement showing its indebtedness and other obligations. Such statement shall
be sworn to by the president before a notary public and attested by the
secretary of the district.

[Part 47:64:1919; A 1933, 261; 1931 NCL § 8063]

NRS 539.765Court governed by NRS 539.287 where
contract with United States exists.If
the district has in force and effect a contract with the United States under
the provisions of this chapter, the court shall be governed by NRS 539.287.

[Part 47:64:1919; A 1933, 261; 1931 NCL § 8063]

NRS 539.767Order of dissolution not to be entered until bonded indebtedness
liquidated or consent of bondholders filed.If
the district has an outstanding bonded indebtedness or has issued bonds of the
district under the provisions of this chapter, which are unpaid, the district
court shall not enter its order dissolving such district unless and until the
bonded indebtedness shall have been liquidated or the consent of the
bondholders to the dissolution of the district shall have been filed in writing
with the court.

[Part 47:64:1919; A 1933, 261; 1931 NCL § 8063]

NRS 539.770Payment of other indebtedness to be provided for; duties of
county officers in closing affairs of district.

1. In case there is other or current
indebtedness of the district outstanding not represented by a contract with the
United States pursuant to the terms of this chapter, or represented by an
outstanding bond issue duly authorized under the provisions of this chapter,
the court shall determine the amount of such indebtedness outstanding against
the district and provide for its payment as stated in NRS
539.750 to 539.777, inclusive.

2. The court shall nevertheless enter its
order dissolving the district, which order shall also direct and authorize the
county officers hereinafter designated to act as ex officio officers of the
district for the liquidation of such indebtedness.

3. The district directors shall have no
further power to incur further indebtedness after the entry of the order.

4. The court shall have power to enter any
and all orders necessary to complete the dissolution of the district and
effectuate the intent hereof.

5. The records and papers of every kind
belonging to the district shall be turned over to the county clerk for use by
the proper county officers in closing the affairs of the district. The county
treasurer shall perform the duties of district treasurer. The county assessor
shall perform that portion of the duties of the secretary relating to district
assessor. The county clerk shall perform all the other duties of the secretary
of the board of directors. The board of county commissioners shall perform the
duties of the board of directors. The district attorney shall perform such
duties as may be required of the district attorney by such county officers.

[Part 47:64:1919; A 1933, 261; 1931 NCL § 8063]

NRS 539.773Liquidation of indebtedness; levy of assessments; collection of
taxes; sale of district property by county commissioners; disposition of
proceeds.

1. The proper county officers shall
proceed to levy and assess upon the lands embraced within such district proper
assessments and to collect such additional taxes as may be necessary for the
purpose of paying such remaining outstanding indebtedness not provided for by
previous assessments.

2. Such assessments and levies shall be
made as near as may be in the same manner and with the same procedure as
provided by this chapter.

3. All property of every kind belonging to
the district, including lands sold to the district for taxes, shall be sold by
the board of county commissioners as near as may be in the same manner as
county lands acquired at tax sales and county property are now sold, and the
proceeds, together with all money on hand, shall be used to pay off the
remaining indebtedness of the district.

4. All funds remaining after the
outstanding indebtedness has been paid shall be refunded and paid pro rata to
the last assessment payers according to the last assessment roll.

[Part 47:64:1919; A 1933, 261; 1931 NCL § 8063]

NRS 539.775Contract with United States or bonded indebtedness not bar to
dissolution if provision made for payment.The
outstanding indebtedness, except in cases mentioned in NRS
539.765 and 539.767 where there is an
outstanding lawful bond issue, or where the district has entered into a
contract with the United States pursuant to the provisions of this chapter,
shall not operate as a bar to dissolution by the district court when provision
is made for the payment of such indebtedness in the manner provided in this
chapter, or such indebtedness is otherwise satisfied.

[Part 47:64:1919; A 1933, 261; 1931 NCL § 8063]

NRS 539.777Entry of order dissolving district; further indebtedness
prohibited.Upon the entry of the
order of the court dissolving the district, the same shall be deemed dissolved
and no further indebtedness of any kind shall be contracted by the board of
directors of the district.

1. Any person who wrongfully and
maliciously interferes with any officer, agent or employee of the district in
the proper discharge of his or her duties, is guilty of a public offense, as
prescribed in NRS 193.155,
proportionate to the value of any property damaged or destroyed and in no event
less than a misdemeanor.

2. The irrigation district damaged by any
such act may also bring a civil action for damages sustained by any such act,
and in such proceeding the prevailing party is entitled to attorney’s fees and
costs of court.

NRS 539.783Liability of water user negligently or wrongfully impairing
system of works; notice to repair.Any
water user, or his or her agent or lessee, of an irrigation district who shall
negligently or wrongfully impair the usefulness of any reservoir, canal, ditch,
lateral, drain, headgate, structure, or any part of the irrigation district
system of works and fails to repair the same within 10 days after notice from
the district so to do, or who fails within such time to file with the board of
directors good and sufficient reasons for so failing to do, shall become liable
for the payment thereof as provided in this chapter, or the irrigation district
may make such repairs and add and collect the same as an operation and
maintenance charge against the lands of the water user for the next succeeding
irrigation season.